Singapore tax hike to fund growth sectors: Economist

Singapore may be looking at tax hikes to fund new growth sectors, such as Fintech, said Mahamoud Islam, Senior Economist for Asia at Euler Hermes in an interview yesterday.

Islam said: “With its market having an ageing population, and a market with a targeted investment drive in new economic sectors such as Fintech, raising taxes will be a way to fund these projects.”

The economic sense out of such policies is that Singapore is looking at consolidating its Fintech sector, whereas Euler Hermes determined that Blockchain would be one of the growth sectors of the economy.

He further explained that with the plans to improve the Fintech sector among others, tax policies would be a way to get funds to pump in those sectors that would create new jobs and expand the economy altogether.