S$8b for Covid-19 support measures not from past reserves: DPM Heng

Singapore — On Monday (Aug 17), Deputy Prime Minister and Finance Minister Heng Swee Keat announced additional funding by the Government for Covid-19 support measures.

In a ministerial statement, Mr Heng announced that a total of S$8 billion will be pumped into these measures. The sum will, however, not be funded by past reserves.

The money will be reallocated from other areas. This includes money from development expenditure that has been delayed due to the pandemic.

In an annex to the statement, the country’s development expenditure is expected to see a reduction of S$6.9 billion due to delays in construction during this period. In addition, operating expenditure is also estimated to see a reduction of S$1.5 billion due to lower military expenditure and deferment of exercises.

For this financial year, Singapore is expected to see an overall budget deficit of S$74.2 billion.

Some of the additional measures that will be implemented are:

• S$320m worth of SingapoRediscovers Vouchers to be distributed to Singaporeans to boost tourism.
• S$187 million will be allocated to the aviation sector.
• 4,000 new jobs to be set up in the aviation sector.

Mr Heng’s full speech can be viewed here.

/TISG