How Singapore's $5.1B Solidarity Budget Could Tide Over Tough Times
Singapore Business Review|April-Jun 2020
Analysts are coining that the property, retail and financial sectors may drag Singapore’s GDP down, so the government has been ramping up its citizen’s spending power.
How Singapore's $5.1B Solidarity Budget Could Tide Over Tough Times

Following the $48.4b Resilience Budget on 26 March and the $6.4b Unity Budget in February, Deputy Prime Minister and Finance Minister Heng Swee Keat announced the Solidarity Budget of $5.1b. This brings the total stimulus to $59.9b, which is about 12% of Singapore’s GDP, according to OCBC Investment Research (OIR).

With the latest measures, the overall budget deficit for FY2020 will increase to $44.3b or 8.9% of GDP. To get a sense of how significant this is, in FY19, Singapore saw a deficit of $1.7b, which was just 0.3% of GDP.

To further support the country during the four weeks when the circuit breaker measures are in place, the Solidarity Budget aims to save jobs, and protect the livelihoods of people during this temporary period of heightened measures.

There will also be help for businesses to preserve their capacity and capabilities, to resume activities when the circuit breaker is lifted. In addition, there will be direct cash in hand for households, to help tide families through this difficult period. Should the circuit breaker be extended beyond four weeks, we believe there could be a possibility for further measures.

All in, the measures that the Singapore government is taking would be a supportive factor for the domestic equity market, and this latest Solidarity Budget is meant to tide the country over these four weeks. Should the circuit breaker last longer than expected, further measures may be required.

Helping where it hurts most

この記事は Singapore Business Review の April-Jun 2020 版に掲載されています。

7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。

この記事は Singapore Business Review の April-Jun 2020 版に掲載されています。

7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。

SINGAPORE BUSINESS REVIEWのその他の記事すべて表示
Smile API Eases Loan Process
Singapore Business Review

Smile API Eases Loan Process

Financial institutions and lenders rely on credit worthiness to grant loans, but assessing it can be challenging with only employment and payroll information. Smile API addresses this challenge by transforming employment data into credit data.

time-read
1 min  |
Issue 108
Industry Concerns Rise As Accountant Numbers Decline
Singapore Business Review

Industry Concerns Rise As Accountant Numbers Decline

Accounting firms and universities strive to boost the sector's appeal with new roles and education programmes.

time-read
2 分  |
Issue 108
New Rule Curbs Biases Against Flexi Work
Singapore Business Review

New Rule Curbs Biases Against Flexi Work

Employers who oppose remote work solely because it deviates from traditional office norms can no longer deny this option to employees and may face consequences for doing so.

time-read
2 分  |
Issue 108
Trials Target Better Management Of Treatment-Resistant Depression
Singapore Business Review

Trials Target Better Management Of Treatment-Resistant Depression

Managing treatment-resistant depression (TRD) can take months to years, but Singapore is accelerating the process by embarking on trials of personalised transcranial magnetic stimulation (TMS) specifically tailored for Asian brains.

time-read
2 分  |
Issue 108
Singapore's tech powerhouses triumph at SBR Technology Excellence Awards 2024
Singapore Business Review

Singapore's tech powerhouses triumph at SBR Technology Excellence Awards 2024

In today's digital age, technological innovation is not just a competitive advantage; it is a key driver of progress. Companies that embrace digital disruption and leverage the power of technology are unlocking a world of opportunity, transforming industries, and shaping a more connected future.

time-read
3 分  |
Issue 108
InterContinental unveils rain refund package for guests
Singapore Business Review

InterContinental unveils rain refund package for guests

Guests receive a refund for a 1-night room rate if it rains for more than 2 hours during their stay.

time-read
3 分  |
Issue 108
New law weaves in work protections and retirement benefits into gig workers' safety net
Singapore Business Review

New law weaves in work protections and retirement benefits into gig workers' safety net

Platform workers will be able to make CPF contributions into their ordinary and special accounts.

time-read
3 分  |
Issue 108
Surbana Jurong's new HQ integrates green spaces and smart technology
Singapore Business Review

Surbana Jurong's new HQ integrates green spaces and smart technology

The headquarters features biophilic elements that enhance natural light and air circulation.

time-read
1 min  |
Issue 108
ION Orchard dives into gamification amidst experiential retail demand
Singapore Business Review

ION Orchard dives into gamification amidst experiential retail demand

The mall's in-app augmented reality game offers more than 30 rewards.

time-read
2 分  |
Issue 108
Why Singaporeans are okay with locking away over $4b of their money
Singapore Business Review

Why Singaporeans are okay with locking away over $4b of their money

Customers can only access locked’ money with a physical card or by visiting a branch.

time-read
2 分  |
Issue 108