What Bloomberg Economics Says... “Singapore’s government is moving swiftly to put its finances back in order, slashing stimulus and signaling a return to balanced budgets once the Covid-19 crisis passes. While upholding its long-standing reputation for fiscal prudence, the government balanced needs to continue cushioning the impact from the pandemic and investing for the future, especially in innovation, infrastructure and jobs.” -- Tamara Mast Henderson, Asean economist
- The Covid relief package includes $4.8 billion for public health and safe re-opening measures
- A six-month extension of wage subsidies to certain vulnerable sectors, including aviation and tourism, at a cost of $700 million
- The aviation sector will receive support and cost relief worth $870 million
- The government will set aside $500 million to invest together with Temasek Holdings Pte in large local firms
- The government will spend $24 billion over the next three years to boost skills and build up local workers and firms, including $5.4 billion in fiscal 2021
- Singapore will tighten hiring of foreign workers in the manufacturing sector
- The government also is setting aside $30 million over five years for electric vehicle-related initiatives and $60 million to support technology adoption in the agri-food sector