Economy & business

Elysa Chen asked about the Ministry of Health's plans to re-evaluate the MediSave withdrawal limit and the frequency of reviews in light of changing healthcare costs and technologies. Ong Ye Kung responded that MediSave limits are reviewed regularly, with recent increases announced for the Flexi-MediSave Scheme and Outpatient Scans. The Flexi-MediSave Scheme will also cover more expensive dental treatments. The goal of MediSave is to help Singaporeans save for future healthcare needs while balancing current healthcare expenses.

Lee Hong Chuang asked about government support for Singaporean SMEs expanding overseas, focusing on regulatory challenges and geopolitical risks. Gan Kim Yong highlighted the government's commitment to aiding local enterprises through measures such as doubling trade loan limits, extending tax deductions for internationalization, and enhancing grants for market expansion. EnterpriseSG has established over 35 overseas centers to assist companies with market intelligence and connections, and collaborates with organizations like the SBF to provide resources and advisory services. The government is launching initiatives, including the Centre for the Future of Trade and Investment and the Business Adaptation Grant, to help businesses cope with external economic challenges and trade tariff impacts.

Lee Hong Chuang asked for the expansion of government business support materials, grant application guides, and SME portals in Chinese to assist Chinese-speaking business owners, particularly traditional micro-enterprises. Gan Kim Yong responded that materials on SME support are already available in Singapore's four official languages on Enterprise Singapore's website. He also mentioned that businesses can access advisory support in these languages through the respective chambers of commerce.

Ng Shi Xuan inquired about the rationale behind the three-month gross rent upper limit for security deposits in the Code of Conduct for Leasing of Retail Premises, the timeline for the next review, and whether the appropriateness of this limit has been assessed in recent revisions. Gan Kim Yong explained that the limit was determined by industry practice, aimed at balancing tenant cash flow concerns with landlord protection on unit reinstatement costs. The review of the Code is currently ongoing and expected to conclude by the first half of 2026.

Chua Kheng Wee Louis asked about the impact of Tokenize Xchange's operations ceasing on customers, including the number affected and the amount of funds involved. Gan Kim Yong clarified that Amazingtech Pte Ltd was unlicensed by the Monetary Authority of Singapore (MAS) and was operating under a temporary exemption before being required to wind down after its license application was rejected. The interim judicial management reported that as of mid-August 2025, the total amount owed to customers was approximately $266.3 million, with 2,241 customers having registered claims. MAS emphasized that cryptocurrency is unsuitable for retail investors and advised caution regarding dealing with unlicensed entities and risky schemes.

Fadli Fawzi questioned the Prime Minister regarding the differences in anti-money laundering (AML) breaches by financial institutions (FIs) penalized in 2016/2017 and again in 2025. Alvin Tan explained that the earlier breaches were primarily due to transaction monitoring failures, while the 2025 breaches involved issues in customer risk assessment and related areas, though some transaction monitoring issues persisted due to inconsistent implementation. The Monetary Authority of Singapore (MAS) noted that while FIs made improvements following 2016/2017, evolving criminal tactics necessitate ongoing adaptations in AML controls. The involved FIs acknowledged their shortcomings and have taken steps to enhance oversight and remediation measures.

Cai Yinzhou asked if the Ministry of Trade and Industry would consider registration or certification requirements for power banks sold in Singapore to ensure compliance with safety standards. Gan Kim Yong responded that all power banks must already meet international safety standards as specified in the Consumer Protection (Consumer Goods Safety Requirements) Regulations. The Consumer Product Safety Office conducts regular market surveillance and enforces compliance, with penalties for violations. The government will continue to monitor the situation and assess the need for additional pre-market requirements for power banks.

Abdul Muhaimin Abdul Malik questioned the necessity for Town Councils to bear costs associated with connecting linkways and footpaths for LTA projects on HDB land and requested a review of this cost allocation. Jeffrey Siow explained that while the LTA funds the construction of covered linkways and lifts for pedestrian overhead bridges to promote public transport usage, additional linkways requested by residents may require co-funding by Town Councils if existing connections are already in place. This policy aims to balance convenience for residents with fiscal responsibility.

Poh Li San asked the Acting Minister for Transport about considerations for lowering rebates for Band A1 vehicles, excluding rebates for hybrids, and ending the EV Early Adoption Incentive after 2026, amidst rising electric vehicle and hybrid ownership and high COE prices. Jeffrey Siow explained that the VES and EEAI were established to promote cleaner-energy vehicles by reducing the upfront cost difference with internal combustion engine cars. Factors such as adoption rates and total ownership costs were considered during the review of these schemes. Additional context can be found in a prior response regarding COE.

Saktiandi Supaat raised concerns about potential increases in Certificate of Entitlement (COE) premiums in late 2025 due to expected vehicle demand linked to changes in the electric vehicle rebate schedule. Jeffrey Siow indicated that measures are being implemented to stabilize COE supply, including advancing quotas from future de-registrations and adding up to 20,000 COE quotas since February 2025. He noted that COE prices depend on supply and demand dynamics, with an expected increase in supply reaching its peak in 2026, and encouraged potential car buyers to be cautious about entering the market now.

Patrick Tay Teck Guan raised concerns about the impact of AI on the gender employment gap, as women’s jobs may be disproportionately affected. Tan See Leng responded that the Government is implementing the National AI Strategy 2.0 to harness AI opportunities and support workforce transformation, including significant funding for upskilling and business support initiatives. While there is no current evidence that AI negatively impacts female employment in Singapore, female employment rates have improved, and the gender pay gap has narrowed. The Government promotes initiatives like the HerCareer program and flexible work arrangements to enhance women's job access and capabilities. Ongoing studies will assess AI's workforce impact and ensure inclusive growth opportunities.

Kenneth Tiong Boon Kiat inquired about the total government grants and subsidies provided to preschool operators under the Anchor Operator and Partner Operator schemes over the past five years, as well as the per-enrolled-student amounts for each scheme. Masagos Zulkifli B M M highlighted a significant increase in government spending on early childhood education, from around $1.5 billion in FY2020 to over $2 billion in FY2024, with an increase in expenditure per preschool-aged child from $7,900 to $13,000. He noted that funding is aimed at ensuring quality improvements and adherence to lowered monthly fee caps for childcare, which will further decrease in 2026, resulting in lower costs for families after subsidies.

Fadli Fawzi questioned whether excluding income from assets and investments underrepresents Singapore's Gini coefficient, impacting the assessment of income inequality. Jeffrey Siow highlighted that wealthier households often generate more non-employment income, which is frequently under-reported. The Ministry of Finance and the Department of Statistics are researching improved methods for measuring non-employment income and will share their findings when available.

Victor Lye asked if tuition fee loans and the CPF Education Loan Scheme could be extended to working adults pursuing part-time degree programs to promote mid-career skills development. Desmond Lee responded that Singapore Citizens enrolled in Ministry of Education-subsidised part-time undergraduate or postgraduate programs can use Government tuition fee loans, post-secondary education accounts, and SkillsFuture credits, along with bursaries for lower- and middle-income families. The CPF Education Loan Scheme is restricted to local full-time courses at approved institutions to protect CPF savings for retirement and other essential needs.

Gerald Giam Yean Song asked the Minister for National Development about trends in vacant commercial units in Singapore over the last three years, factors contributing to vacancies, the impact of high rents on businesses, and the consideration of a vacancy tax. Chee Hong Tat reported that vacancy rates have remained stable at about 7% for retail and 11% for office spaces, similar to pre-COVID levels, and landlords are unlikely to keep properties vacant due to financial unsustainability. Rent increases for private retail spaces have been below the inflation rate overall, though variations exist based on location and property features, with lower-cost options still available for businesses. The Urban Redevelopment Authority provides quarterly rental data to assist businesses in making informed leasing decisions.

Gho Sze Kee asked about the National Arts Council's support for artists in achieving commercially sustainable careers while maintaining artistic integrity. David Neo outlined that the NAC provides grants for local and international showcases, with over 190 artists benefiting from the Marketing and Audience Development Grant from 2022 to 2024. The NAC also enhances artists' professional skills through the Arts Resource Hub and collaborates with SkillsFuture Singapore on a Skills Framework for the Arts. Local platforms like Singapore Art Week and various initiatives help improve the visibility of artists, while international opportunities at events like the Frankfurt Book Fair expand their market reach. The government encourages societal support of the arts through programs like the SG Culture Pass.

Shawn Loh asked the Minister for Manpower about the evaluation of the Household Services Scheme (HSS) regarding its take-up rate, pricing, ease of use, and market demand. Tan See Leng reported a growth in HSS companies from 80 to 240 since its 2021 formalization, indicating an increase in households served. The Ministry supports HSS by providing concessions for migrant workers, with companies setting service prices based on demand, and no current need for government price intervention is seen. While there are benefits in allowing foreign workers to assist multiple households for efficiency, concerns exist about accountability, liability, and the risk of illegal moonlighting.

Foo Cexiang asked if the Ministry of Trade and Industry would disclose carbon tax relief and emissions data for individual companies to enhance accountability and incentivize decarbonization. Gan Kim Yong responded that aggregated data on carbon tax allowances will be released in 2027, emphasizing the need for a balance between transparency and commercial confidentiality. He assured that carbon tax allowances are not a free pass for high-emission companies, who must submit credible net-zero plans that the government will review and monitor. Adjustments to allowances will be based on companies' decarbonization progress and advancements in technology.

Poh Li San questioned the Minister for Home Affairs about recovery efforts related to the $456 million lost to scams in the first half of 2025. K Shanmugam reported that over $56.7 million was successfully recovered, which includes funds frozen in scammers' bank accounts and cryptocurrency wallets. Approximately 7,200 out of 19,665 reported scam cases saw successful recovery efforts, translating to about 37% success. The complexity of laundering scam proceeds poses significant challenges in the recovery process, particularly when funds are transferred overseas.

Liang Eng Hwa asked about the progress and potential improvements to the NEA's Incubation Stall Programme. Grace Fu reported that 99 stalls have been allocated, with 37 aspiring hawkers successfully transitioning to full-fledged businesses. The program offers reduced stall rentals for 15 months to help these hawkers establish viability. NEA regularly reviews the program, having previously extended rental discounts based on participant feedback, and will continue to monitor it to ensure relevance to the hawker trade.