Economy & business

Saktiandi Supaat asked about strategies to ensure job stability for Singaporeans amid rising trade tensions and labor market changes. Tan See Leng highlighted concerns over job security due to global uncertainties and technological advancements. The approach focuses on helping workers transition to new jobs rather than preserving outdated ones, with three main strategies: creating good jobs through investment facilitation and workforce support, equipping workers with relevant skillsets via extensive upskilling programs, and strengthening support mechanisms for navigating the labor market. Initiatives like Career Health SG and the SkillsFuture Jobseeker Support scheme aim to enhance employability and assist displaced workers. The Singapore Economic Resilience Taskforce will monitor job creation impacts from global trade developments and adapt measures as needed.

Alex Yeo expressed gratitude for the residents of Potong Pasir while discussing the need for improved health and social support for seniors, emphasizing the importance of preventive healthcare and the launch of a Community Preventive Healthcare Programme. He advocated for a review of the means-testing framework for government healthcare subsidies to better reflect the financial situations of seniors, particularly in light of changing demographics. Yeo called for an environment that supports seniors’ well-being, including the creation of Age Well Neighbourhoods. He highlighted the challenges faced by youth today due to excessive screen time and social isolation, urging for community spaces to foster face-to-face interactions among children, youth, and seniors. Edward Chia emphasized the critical role of SMEs in Singapore's economy and proposed eight recommendations aimed at providing targeted support, fostering collaboration, relieving regulatory burdens, and improving payment terms to help SMEs thrive amid economic challenges.

• The debate focused on the potential inclusion of shophouse merchants in the Community Development Council (CDC) Voucher Scheme and the criteria for appeals from residents.
• Shawn Loh inquired about the number of additional merchants that could be included if all privately-owned shophouses were eligible and the appeal process for residents wishing to use vouchers at these shops.
• Edwin Tong explained that the CDC Voucher Scheme, initiated during the COVID-19 pandemic, aims to support Singaporean households and local merchants, particularly in HDB heartlands.
• Over 23,000 hawkers and heartland merchants have been onboarded to the scheme, with ongoing efforts to include more eligible businesses based on community needs.
• The CDC considers various factors when evaluating appeals for including additional merchants in the voucher scheme.

• Mr. Low Wu Yang Andre inquired about the rejection rates of merchant applications for the CDC Voucher Scheme based on their location in non-HDB premises and the success of appeals.
• The CDC Voucher Scheme is designed to assist Singaporean households with living costs and support local hawkers and merchants, particularly in residential areas.
• The Ministry has onboarded over 23,000 hawkers and heartland merchants into the CDC Voucher Scheme, including those who appealed their initial rejections.
• The CDCs are committed to collaborating with various merchant associations to include more eligible businesses in the scheme.

• The median cost for EV charging is $0.66/kWh in HDB carparks and $0.74/kWh in private commercial carparks.
• Charging prices are determined by operators and vary based on location and charger power rating.
• Tenders for EV charging points in HDB carparks prioritize quality over price in their evaluation framework.
• Operators do not have exclusive rights in HDB carparks, allowing for potential future tenders to install more EV chargers.

• Mr. Gabriel Lam proposed extending the concessionary migrant domestic worker levy of $60 to first-time expectant parents two to three months before delivery.
• He inquired about the fiscal and policy implications of such an extension, including potential beneficiary numbers and impact on levy revenues.
• Minister Tan See Leng explained that the concessionary levy is currently available to households with caregiving needs and will be extended to those with a Singapore Citizen child born.
• The government will monitor the need for extending the concessionary levy or exploring alternative support options for expectant parents.

• Kenneth Tiong Boon Kiat inquired about the total annual imputed rental value of properties allocated to ECDA's Anchor and Partner Operators for preschool services and how this in-kind subsidy is considered in financial evaluations.
• Masagos Zulkifli B M M responded that Anchor Operator centres in Housing Development Board premises are charged rental rates comparable to other socio-communal facilities.
• The Early Childhood Development Agency (ECDA) does not allocate any sites to Partner Operator centres.

• Ms. Lee Hui Ying inquired about the intended carbon tax rate beyond 2027 and whether Singapore is on track to meet the $50 to $80 per tonne target by 2030.
• Minister Grace Fu Hai Yien confirmed that the carbon tax is set to increase to $45 per tonne in 2026 and 2027, aiming for $50 to $80 per tonne by 2030.
• The government regularly reviews the carbon tax trajectory and will provide updates as necessary.

• Mr. Lee Hong Chuang proposed that the government collaborate with financial institutions to create low-interest financing schemes for SMEs undergoing digital transformation to ease their financial burdens.
• Minister Gan Kim Yong highlighted the Enterprise Financing Scheme (EFS), which facilitates access to financing for businesses, including those focused on digital transformation, by sharing the risk of loan defaults with financial institutions.
• The government has introduced various initiatives, such as the SMEs Go Digital Programme and Chief Technology Officer-as-a-Service, to further support SMEs in their digital transformation efforts.

• The debate focused on the pilot program for displaying unit prices in supermarkets, which is set to launch on September 1, 2025.
• Ms. Eileen Chong Pei Shan inquired about the key performance indicators that will be used to evaluate the pilot's success for potential permanent implementation.
• The Government aims to gather consumer feedback on unit pricing to enhance price comparison and informed purchasing decisions.
• The pilot will also assess the operational feasibility of unit pricing for supermarket operators and its impact on their businesses.
• Insights from the pilot will guide the decision on whether to implement unit pricing more broadly in the future.

• The Singapore government drew approximately $40 billion from Past Reserves during the COVID-19 crisis to support citizens and the economy.
• There are no plans to fully replenish the reserves drawn, as future spending is expected to increase and fiscal resources will be allocated to meet these needs.
• The government aims to maintain a balanced budget over the medium term while being responsible with finances and protecting any surpluses as Past Reserves.
• The Minister for Finance indicated that the questions regarding the timeframe for replenishment and potential tax increases or service reductions do not apply in this context.

• Edward Chia Bing Hui proposed allowing households with low utilities usage to use excess U-Save rebates to offset Service and Conservancy Charges (S&CC).
• Lawrence Wong responded that U-Save rebates are specifically for utilities expenses and can be rolled over indefinitely for future use.
• Wong noted that eligible households will receive a separate GST Voucher for S&CC, which will cover 1.5 to 3.5 months of charges in Financial Year 2025.

• The debate focused on the future adjustments to the Vehicular Emissions Scheme (VES) and the Electric Vehicle (EV) Early Adoption Incentive beyond 2027.
• Melvin Yong Yik Chye sought clarity on how these adjustments would align with the SG Green Plan and impact the Certificate of Entitlement (COE) market.
• Jeffrey Siow confirmed that the EV Early Adoption Incentive will end on January 1, 2027, while the VES will continue until the end of 2027, with future reviews considering EV adoption rates and cost differences among powertrains.

• The CDC Voucher Scheme was introduced in June 2020 to assist Singaporean households with living costs and support local hawkers and merchants, particularly in HDB heartlands.
• Eligibility for merchants not located in HDB premises is determined on a case-by-case basis, focusing on small businesses that provide essential goods and services in areas lacking heartland merchants.
• In 2023, the scheme expanded to include supermarkets, with a balanced distribution of vouchers for both supermarkets and heartland merchants, achieving a 97% spend rate for the 2024 tranche.
• Over 23,000 hawkers and heartland merchants have been onboarded, with ongoing collaboration with merchant associations to ensure effective participation and support for local businesses.
• The government is committed to monitoring and reviewing the scheme to enhance its effectiveness and ensure it meets the needs of Singaporean households.

• Edward Chia Bing Hui raised concerns about the need to review the merchant eligibility criteria for the CDC Voucher Scheme to ensure fairness for small businesses.
• The CDC Voucher Scheme, introduced during the COVID-19 pandemic, aims to support Singaporean households and local merchants, particularly in HDB heartlands.
• The government has expanded the use of CDC Vouchers to include supermarkets while maintaining support for heartland merchants, achieving a high spend rate of 97% for the 2024 vouchers.
• Over 23,000 hawkers and heartland merchants have been onboarded to the scheme, with ongoing collaboration with merchant associations to enhance participation.
• The government is committed to monitoring and reviewing the scheme to ensure it effectively serves households and supports local businesses.

• Assoc Prof Jamus Lim questioned the rationale behind the engine capacity, maximum power, and open market value thresholds for the Disabled Persons Scheme (DPS) in relation to COE premium and ARF waivers.
• The DPS provides exemptions for eligible persons with disabilities who cannot use public transport, allowing them to purchase cars for work without paying certain fees.
• Specific limits are set for engine capacity (1,600cc), maximum power output (97kW), and open market value ($20,000) to ensure affordability and fiscal responsibility.
• The Minister indicated that appeals regarding these criteria can be considered on a case-by-case basis.

• Ms. Nadia Ahmad Samdin proposed that the Ministry consider structuring carbon relief allowances to support emissions-intensive trade-exposed companies, aiming to retain jobs for Singaporeans.
• Deputy Prime Minister Gan Kim Yong affirmed the government's approach to providing allowances to help these companies transition while maintaining their operations in Singapore.
• The government recognizes the risk of losing emissions-intensive companies to regions with lower carbon prices, which could negatively impact local jobs and integrated value chains.
• The commitment is to ensure that these companies can continue to contribute to Singapore's economy and provide employment opportunities.

• The debate focused on the impact of global supply chain disruptions and rising rental costs on the prices of essential goods in Singapore.
• The government is working to ensure affordability by diversifying import sources and enforcing fair competition among businesses.
• Additional support measures, such as CDC vouchers and U-Save rebates, have been introduced to help households manage rising expenses.
• A pilot initiative for displaying unit prices in major supermarkets aims to help consumers compare prices and make informed purchasing decisions.
• Supermarkets are implementing various campaigns and discounts to keep essential item prices affordable for consumers, particularly for vulnerable groups.

• Mr. Fadli Fawzi raised concerns about the regulation of Integrated Shield Plans (IPs), specifically questioning the government's stance on disallowing unlimited coverage for non-cancer treatments.
• He inquired about the sufficiency of existing laws against profiteering and anti-competitive behaviors among healthcare providers and insurers, and how Singapore's regulatory framework compares to other developed nations.
• Fadli also asked whether the government plans to regulate the use of panel specialists by IP insurers, including requirements for the number of specialists and contract durations.
• Minister Ong Ye Kung acknowledged the complexity of the private healthcare and insurance landscape, noting issues like rising hospital bills and premiums, and promised to address these concerns in a future parliamentary session.

• The closure of the ASEAN Engagement Office by the US government is not expected to significantly impact the longstanding and mutually beneficial US-ASEAN relationship, which has been built over decades.
• The US remains ASEAN's top source of foreign investment, with substantial economic ties supporting over 625,000 American jobs, and plans to commemorate 50 years of ASEAN-US dialogue relations in 2027.
• Opportunities for collaboration in new areas, such as responsible AI and cybersecurity, are being explored to enhance cooperation between ASEAN and the US.
• Singapore maintains a strong and bipartisan relationship with the US, focusing on various domains including defense, security, and technology, while also engaging in tariff negotiations to facilitate exports.
• The Ministry of Foreign Affairs is committed to fostering appreciation for Singapore's relationship with the US through sustained engagement and collaboration with US Congress members.