Economy & business

• Dr. Charlene Chen inquired about the number of finance, accounting, human resources, and IT positions outsourced or relocated overseas, as well as job security measures for locals in these roles.
• The Ministry of Manpower does not track data on outsourced positions or those converted to contract arrangements, but noted growth in resident employment in IT, financial services, and legal/accounting sectors over the past three years.
• The government is focused on supporting Singaporeans through various initiatives aimed at upskilling and reskilling, including the SkillsFuture Level-Up Programme and Career Conversion Programmes.
• Programs are also in place to assist local professionals in pursuing overseas career opportunities, emphasizing the importance of continuous learning and adaptation to economic changes.
• The government is reviewing measures to enhance job prospects for locals as part of the Economic Strategy Review initiated earlier this year.

• Assoc Prof Jamus Jerome Lim inquired about the implications of attending a Drug Rehabilitation Centre on an individual's fit and proper status for careers in the financial services industry.
• The Prime Minister's representative, Gan Kim Yong, clarified that attending a Drug Rehabilitation Centre does not automatically disqualify someone from working in the financial services sector.
• The Monetary Authority of Singapore's guidelines allow financial institutions to consider various factors, including the seriousness of past conduct and the time elapsed, when assessing an individual's fit and proper status.
• Financial institutions are also permitted to apply their own selection criteria, such as experience, qualifications, and skills relevant to the role.

• Melvin Yong raised concerns about regulatory safeguards for consumers using e-commerce platforms for C2C transactions, noting poor safety ratings for some platforms.
• K Shanmugam highlighted that Carousell and Facebook Marketplace have poor Transaction Safety Ratings but are required to comply with the E-Commerce Code of the Online Criminal Harms Act for user protection.
• Enhanced user verification measures were implemented in 2024, resulting in a significant decrease in e-commerce scams on both platforms.
• The Ministry of Home Affairs is collaborating with Meta and Carousell to develop additional anti-scam measures and will take legal action if necessary.
• Consumers are advised to remain vigilant when using e-commerce platforms, especially those with low safety ratings.

Low Wu Yang Andre asked about the long-term cost-benefit analysis of transitioning to electric vehicles in public bus tenders and safeguards against fare increases due to higher electrification costs. Jeffrey Siow highlighted that the shift to electric buses will enhance air quality and public health while currently only replacing buses that are near the end of their lifespan. He mentioned that the life cycle costs of electric and diesel buses are similar, with potential for reduced operational costs as technology advances, which may allow for a faster transition without significantly impacting bus service costs or commuter fares.

Abdul Muhaimin Abdul Malik asked about the budget utilization and support measures for the Overseas Markets Immersion Programme (OMIP) aimed at SMEs. Tan See Leng reported that $16 million is allocated over two years to support up to 250 local employees, with more than 70 already posted overseas and over 75% of participating companies being SMEs. OMIP is designed for both SME and non-SME companies, with tailored support available through the Singapore Business Federation (SBF), which provides briefings to assist with applications. The programme encourages companies to develop their local workforce and pursue internationalization efforts.

Patrick Tay Teck Guan asked about policies to uplift lower-wage workers and address wage gaps with medium-income workers, specifically seeking wage targets at various percentiles and compliance rates with lower-wage recommendations. Tan See Leng noted the Ministry of Manpower's commitment to narrowing the wage gap, reporting a cumulative rise of 6.3% in real gross monthly income for the 20th percentile from 2021 to 2024, exceeding the median worker's increase of 3.2%. The tripartite partners have not established specific wage targets for percentile workers but do publish compliance rates with lower-wage recommendations in their annual reports.

Patrick Tay Teck Guan asked about the incidence of low pay in Singapore compared to OECD countries, specifically regarding workers earning less than two-thirds of the median wage. Tan See Leng reported that about 30% of full-time employed residents in Singapore were classified as low-pay in 2024, significantly higher than the OECD average of 13% in 2023. He noted that while Singapore has a higher low-pay incidence, it also has government support for lower-wage workers, such as income top-ups. Additionally, real gross monthly income at the 20th percentile has increased significantly more than the median wage from 2021 to 2024. The government plans to continue efforts to uplift lower-wage workers through sustainable wage increases and the Progressive Wage Model.

Saktiandi Supaat asked about the percentage of proven debts repaid to creditors in bankruptcy estates over the past decade and how this compares to the Debt Repayment Scheme (DRS). Edwin Tong Chun Fai explained that repayment percentages vary based on individual circumstances and that DRS cases typically show more favorable recovery rates due to their structure. The DRS allows debtors with regular income to maintain better repayment conditions and provides creditors with guaranteed returns. The Ministry of Law maintains discussions with creditors to ensure repayment plans under the DRS are effective while balancing creditors' interests with the need to help bankrupts restart financially.

Saktiandi Supaat asked about the top causes of individual bankruptcies over the past decade, data collection methods, and measures to balance risk-taking with financial responsibility. Edwin Tong reported that the leading causes of bankruptcy include business failure, consumer overspending, unemployment, liability due to guarantees, and low income, with data collected via debtors' self-declaration in their Statement of Affairs. The Government supports entrepreneurship through various schemes, including mentorship and grants, while promoting responsible financing decisions, such as requiring matching funds for grants. The Ministry of Law continually reviews the bankruptcy regime to balance entrepreneurial activity and financial accountability.

Gabriel Lam raised concerns about the effects of illegal hawker stall subletting on food prices, particularly regarding hidden rent costs for consumers, the impact on younger aspiring hawkers, and measures to ensure fair access for new entrants. Grace Fu indicated that the National Environment Agency (NEA) opposes subletting and conducts inspections to prevent rent-seeking behavior, issuing warnings and termination notices to non-compliant stallholders. NEA promotes fair access for new entrants through a transparent stall bidding system, ensuring that applicants must personally operate their stalls and do not sublet, with clear terms outlined in tenancy agreements.

Choo Pei Ling asked about the detailed breakdown of the $2.4 billion committed to healthcare research, specifically by disease area, research theme, and program type. Ong Ye Kung responded that while annual funding allocations by program type are available on the Ministry of Health's website, detailed allocations by disease area and research theme are not published.

Dr. Choo Pei Ling questioned the Government on the financial commitment to R&D for technology-based care for the elderly and disabled over the past three years, as well as on support for collaboration between clinicians and engineers. Ong Ye Kung responded that specific funding numbers are not tracked, but significant resources are allocated under the Research, Innovation and Enterprise Plan, particularly for population health and longevity research. He highlighted existing collaborations between clinicians and engineers through various initiatives, including the Open Fund – Large Collaborative Grant, which promotes interdisciplinary partnerships and innovation platforms to foster clinical advancements.

Edward Chia Bing Hui asked for an update on the review of the Formula 1 contracts and the expected timeline for its completion. Gan Kim Yong confirmed that an independent Review Committee was convened, which has completed its report, finding that the contract terms are fair and safeguard the Government's interests, while highlighting significant economic benefits from hosting the Grand Prix. The Review Committee noted the continued relevance of the Singapore Grand Prix for international branding and observed no irregularities in the project's management. Recommendations for improving processes between the Singapore Tourism Board and Singapore GP were made, but the report will not be publicly released due to business confidentiality.

Charlene Chen questioned the Deputy Prime Minister about the impact of the US government shutdown on Singapore and plans to mitigate any effects. Gan Kim Yong reported no immediate macroeconomic impact observed but warned that a prolonged shutdown could affect US economic sentiment and export demand from Singapore. The government has established support schemes like the Enterprise Development Grant for businesses and the SkillsFuture Jobseeker Support scheme for individuals affected by economic challenges. Additionally, programs for upskilling and a traineeship initiative for fresh graduates have been launched to enhance employability amid uncertainties. The government pledges to monitor the situation and adjust responses as needed.

Patrick Tay Teck Guan questioned the Deputy Prime Minister about various economic indicators, including unit net operating surplus, unit gross operating surplus, and unit business costs from 2016 to 2025, segmented by different sectors. Gan Kim Yong responded that data on unit net operating surplus and unit gross operating surplus is not compiled by the Department of Statistics. A table was provided showing unit business cost data for the manufacturing and services sectors during the specified period, but no data was available for the overall economy or for services industries breakdowns.

Chua Kheng Wee Louis requested data from the Prime Minister regarding Additional Buyer's Stamp Duty (ABSD) levied on Permanent Residents over the past five years, specifically asking for breakdowns by property type. Jeffrey Siow provided that, from 2020 to 2024, an average of around 6,600 residential property transactions involving ABSD were recorded annually, generating approximately S$462 million each year. Of these transactions, 33% were for HDB properties, 43% for private properties under S$1.5 million, and 24% for those at or above S$1.5 million. The corresponding ABSD revenue came primarily from private properties above S$1.5 million, which accounted for 57%. Joint purchases with foreigners were excluded from this data due to different ABSD rates.

Yip Hon Weng requested information from the Prime Minister about the monitoring of the ratio of manned bank counters available to senior residents in Singapore and whether a minimum ratio could be mandated for banks. Gan Kim Yong responded that while the Monetary Authority of Singapore (MAS) does not track the number of manned counters, it does monitor bank branches and emphasizes the need for them to support seniors adequately. Banks consider local demographics when planning their operations and provide priority assistance for seniors, along with community partnerships for digital literacy programs. Additionally, banks deploy Digital Ambassadors at branches to assist seniors with banking needs.

Yip Hon Weng asked the Acting Minister for Transport about reviewing and enforcing stricter regulations on motor vehicle loans to address 100% financing packages offered by some car dealers. Jeffrey Siow responded that motor vehicle loans from financial institutions must follow MAS regulations, which set loan-to-value limits based on the vehicle's Open Market Value (OMV). He noted that car dealers can offer alternative financing arrangements not regulated by MAS, such as leasing or lease-to-own schemes. Buyers were advised to seek loans through regulated sources for better protection.

Ng Shi Xuan questioned the rationale for requiring at least one local employee for eligibility in the Energy Efficiency Grant (EEG) and whether this criterion would be tightened. Gan Kim Yong reported that since the EEG's introduction in September 2022, nearly 15,800 applications have been approved, with two support tiers available. The Base Tier does not require firms to report energy savings, while the Advanced Tier demands demonstrated carbon abatement. As of June 2025, the local employee criterion was removed to allow more businesses, including sole proprietors, to qualify, with safeguards implemented to ensure proper fund allocation.

Kenneth Tiong Boon Kiat asked about the fiscal prudence of offsetting grants like the Refundable Investment Credit, highlighting concerns about multinational enterprises relocating jobs due to high costs. Shawn Loh raised questions regarding potential implications on Singapore's budgets from G7 proposals related to global minimum tax rules for US-parented groups. Jeffrey Siow responded that all government incentives are conditional, requiring companies to meet certain key outcomes, and noted mechanisms to reclaim grants if conditions are unmet. He emphasized that Singapore's competitive strengths extend beyond financial incentives and are rooted in its reputation as a global business hub. Siow also mentioned that Singapore has implemented measures in response to BEPS 2.0 Pillar Two rules, but the uncertainty surrounding its impact on Singapore's fiscal outlook will be monitored closely.