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Budget 2019: Govt to spend S$3.6 billion in next 3 years to help workers and SMEs

Jewel Stolarchuk
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0
Budget 2019: Govt to spend S$3.6 billion in next 3 years to help workers and SMEs

Finance Minister Heng Swee Keat announced in the Budget speech that the government will spend S$3.6 billion over the next 3 years on Singapore workers and small-medium enterprises (SMEs).

Highlighting that there was steady growth in 2018, Heng said that the economy grew by 3.2 per cent in 2018 – 0.4 per cent lower than the 3.6 per cent growth rate in 2017.

Noting increasing uncertainties in the international and regional stage, Heng said that global growth is expected to moderate in 2019.

The Minister further announced that all 23 Industry Transformation Maps he unveiled in Budget 2016 have been launched and that productivity in Singapore has grown by 3.6 per cent in the past three years.

The productivity rate in the past three years is 2.0 per cent higher than the 1.6 per cent per annum from 2012-2015.

Heng then said that the Government will invest financial resources in workers and in offering greater support for start-ups and SMEs.

He added that Singapore expects to spend S$3.6 billion over the next three years to help workers.

Asserting that the strategy of supporting both companies and workers as “mutually reinforcing,” he added: “Stronger companies provide better jobs and pay for workers, and highly skilled workers make companies stronger.”

Touching on support for workers, Heng proudly noted that the percentage of residents in the labour force who went for training grew by 13 per cent between 2015-2018 and that more than 76,000 job seekers have found jobs through Adapt and Grow, in the past three years.

The Minister unveiled new Professional Conversion Programmes for workers and said that he is extending the Career Support Programme for another two years.

The Career Support Programme offers wage support for employers to employ mature, retrenched Singaporean workers.

He added that from April 2020 onwards, Enterprise Singapore’s Enterprise Development Grant will only support transformation efforts if employers include perks for workers, such as a salary rise.

As for support for start-ups and SMEs, Heng said that Enterprise Singapore will launch the Scale-up SG programme to help local firms to innovate, grow and internationalise.

The authorities will also pilot an Innovation Agents programme to connect firms to experts for advice on innovation opportunities.

In addition to the $400 million set aside since 2010 to invest in SMEs, alongside the private sector, the Government will pump in an additional S$100 million for an SME Co-Investment Fund III.

Further, the schemes Enterprise Singapore offers to aids SMEs will be streamlined into a single Enterprise Financing Scheme, from October 2019.

Heng is also extending the SME Working Capital Loan Scheme for another two years, until March 2021. This scheme will also come under the Enterprise Financing Scheme.

Heng also announced that the Government will take a risk on bank loans for young companies that have been incorporated for less than five years for up to a maximum of 70 per cent.

He added that the Government is incorporating a one-stop portal for firms to deal with Government agencies so they have a single point of contact and can make Government transactions easier.

This article is part of The Independent’s Budget 2019 coverage. Please send your feedback and enquiries to [email protected].

2019’s top cybersecurity challenges to expect

e27
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2019’s top cybersecurity challenges to expect

Cybersecurity is going to be of greater interest in 2019 as private cloud, blockchain and Internet of Things (IoT) adoptions are becoming mainstream

 

According to Gartner, cloud system infrastructure services are now the fastest-growing sector of the market. In addition, Bain expects IoT markets are predicted to double in 2021, amassing a whopping US$520 billion.

With the increasing use of cloud services and various IoT devices, the challenges companies face to secure and protect their sensitive data are rising congruently.

HyperSphere.ai, a globally decentralized cyber secure platform for new economy, describes five key cybersecurity challenges that businesses will have to overcome in order to stay ahead of the curve in the upcoming year.

So, what are the major factors defining our cybersecurity space in 2019?

General Data Protection Regulation (GDPR)

Most of the challenges related to general privacy would be GDPR specific.

Since May 2018, GDPR has been a dramatic shift in the way the European Union wants personal data to be managed.

Next year, businesses will be paying more attention to the adjustments of some processes or implementation of new ones in order to be GDPR compliant. They will be focusing on things like where the data is stored via the cloud provider, how the data can be transferred or how to assess security measures the cloud provider has taken.

On the other hand, it will be a crucial step forward for the regulators to make GDPR policies more transparent and applicable to the internet environment so business can obey the rules easily.

Use of blockchain in security technology

The opportunities that blockchain opens up to the world of cyber-security are growing in number.

However, blockchain technology is already one of the best tools to prevent data substitution as it is shared over a peer-to-peer network whereby every user can track all the data.

Thus, to corrupt the blockchain completely, hackers will need to access almost all the devices connected to the network (depending on consensus protocol).

As this is virtually impossible, unharmed computers will continue to check the data for consistency.

In 2018 Blockchain was a strong trend, but few real-economy projects were implemented.

This year, more blockchain projects will develop their business models and there might be a boom in blockchain-based security solutions.

Artificial intelligence identifying potential breaches

Next year, businesses will be exploring the possibilities that AI offers to accurately predict potential cyber-security and virus attacks.

By processing big amounts of data related to user activity, AI can identify and show inconsistencies in subtle patterns like workplace habits and information consumption that may help avert a potential cyber-attack.

A lot of companies will be exploring such opportunities to predict small changes in user behaviour to prevent a potential data leak from ever happening.

Strengthening security measures in public cloud

The private cloud has become a recent trend because of its setup — dedicating itself to a single client thus providing higher security than a public cloud situation that has multiple users.

As more and more users migrate to private cloud, public clouds are looking for better ways to ensure security.

Also Read: Got bold ideas but don’t know where to start talking about it? TOP100 APAC is your stage

Some small and medium-sized enterprises, who cannot afford to build a private cloud, have to use public cloud, where major security threats are still unsolved.

For public cloud, this means they will start investing more in new security tools in order to overcome the challenges of being less secure than the private ones.

Hopefully, we will get to see new ways of authentication or data encryption, leaving gaps for the attackers to use, in 2020.

A reinvention of identity management

Till date, there is still no efficient solution that can completely change the game in the identity management space — we use passwords so far.

Enterprises are looking for solutions that provide advanced authentication services, such as geographical restrictions or two-factor authentication since managing identity in a cloud computing environment is increasingly complex.

In general, all identification ways that exist now are only in the initial stages of becoming a truly convenient and ultimately safe identification mechanism that can be applied for the majority of businesses.

Also Read: Why the world needs deep generalists, not specialists

In the coming stages, passwords might be replaced with something like biometric-based certificates that will open up a new chapter in identity management.

Ponemon Institute’s “2018 Cost of Data Breach” study reveals that the data breach average cost is equal to US$3.86 million.

Cybersecurity failures will have even bigger consequences this year, which will be measurable in terms of finances and significant revenue losses — some even possibly ending with hearings at court.

All the security challenges reveal that it’s even more important to know that data is one of the most valuable business assets.

To avoid spending money fixing the consequences of data breaches, many companies will be investing in reinventing their approach to cybersecurity by applying new tools and finding effective ways to secure data.

—

Image Credits: nicoelnino

e27 publishes relevant guest contributions from the community. Share your honest opinions and expert knowledge by submitting your content here.

The post 2019’s top cybersecurity challenges to expect appeared first on e27.

Source: E27

Government to spend about 30% of Budget 2019 expenditure on defence

Jewel Stolarchuk
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0
Government to spend about 30% of Budget 2019 expenditure on defence

Finance Minister Heng Swee Keat just announced in his budget speech that the government will spend 30% of expenditure on defence.

Earlier, Heng noted the “occasional differences” Singapore has with its neighbours, the fact that many regional nations are advancing technologically, and the fact that the threat of terrorism remains high.

Highlighting Singapore’s approach to defence with diplomacy, Heng noted that the Singapore Armed Forces lends weight to diplomacy while other pillars of security like the Home Team and the Cyber Security Agency also play their part in protecting the nation.

Heng also spoke about National Service saying that it had “forged a deep understanding” among Singaporeans that everyone has a duty to defend Singapore.

He added: “As a people, we must have the psychological and emotional resilience to face crises stoically.”

Calling the spending on defence “significant but indispensable,” Heng said that this expenditure may rise in the future if the need arises: “This spending is significant, but indispensable. We will invest more, if the need arises.”

This article is part of The Independent’s Budget 2019 coverage. Please send your feedback and enquiries to [email protected].

Heng Swee Keat says Singaporeans must work together to build a ‘strong and united Singapore’ in 2019 budget speech

Jewel Stolarchuk
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0
Heng Swee Keat says Singaporeans must work together to build a ‘strong and united Singapore’ in 2019 budget speech

Finance Minister Heng Swee Keat in his budget speech said that Singaporeans have to play their part to build a “Strong, United Singapore”.

Touching on the 200th anniversary of Sir Stamford Raffles’ arrival in Singapore as he delivered his opening remarks, Heng said: “In our bicentennial year, let us reflect on the twists and turns in our history, so as to chart a path forward for an even better future for our people.”

Heng then identified four major shifts that may affect Singapore. These shifts are: a shift in global economic weight towards Asia, rapid technological advancements, changing demographic patterns, and decline in support for globalisation.

Heng also cautioned Singaporeans about issues to watch out for, such as geopolitical uncertainty given the ongoing trade tensions between the US and China and “occasional differences” Singapore may have with neighbours closer to home, such as our bilateral issues with Malaysia.

Revealing that the thrust of Budget 2019 is to build a “Strong, United Singapore,” the Minister then presented the five main themes of this year’s budget. These are:

  • A safe and secure Singapore
  • A vibrant and innovative economy
  • A caring and inclusive society
  • A global city and home for all
  • A fiscally sustainable future

Cautioning that financial resources are not enough to build a “Strong, United Singapore,” Heng appealed to the people to play their part. He said: “We call on all Singaporeans to partner with the Government, and support one another to succeed in this endeavour.”

This article is part of The Independent’s Budget 2019 coverage. Please send your feedback and enquiries to [email protected].

Is S$500 billion in aggregate reserves enough or does Singapore need higher taxes?

Gemma Iso
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0
Is S$500 billion in aggregate reserves enough or does Singapore need higher taxes?

Singapore’s aggregate reserves is a state secret, however, analysts’ estimates place it at well over S$500 billion (US$370 billion).

Maybank Kim Eng economist Chua Hak Bin says: “It is quite remarkable that Singapore, with one of the highest saving rates in the world (at 48 per cent of gross domestic product) and fiscal reserves, still needs to increase taxes.”

A tax increase has been touted by experts as the most logical and sustainable response to Singapore’s growing spending needs.

In particular, the challenges of an ageing population will become increasingly acute in the coming years.

Singapore, one of the fastest-ageing countries in the world, will have one in five people aged 65 and older by 2030.

Other countries mitigate these challenges by borrowing, but the Singapore government does not borrow for spending. Instead, securities are issued for reasons unrelated to the government’s fiscal needs.

Other options the government has explored include taxes on e-commerce spending, as well as wealth taxes.

But each tax comes with its own set of drawbacks.

Higher corporate taxes, for instance, would put a dent in Singapore’s economic competitiveness and the country’s ability to attract foreign investment.

Wealth taxes, on the other hand, which might range from additional property taxes to capital gains tax or even re-introducing estate taxes, could affect Singapore’s status as a major wealth management and financial hub.

Higher GST would affect lower-income households disproportionately and could also weigh on consumer sentiment and economic growth.

This means tax hikes alone will not guarantee the long-term health of the government coffers.

From some quarters, there was a question of whether it might be appropriate from a generational equity standpoint to consider drawing down on the accumulated surpluses instead of increasing taxes on current and future generations of taxpayers.

The counter-argument to this has been reiterated many times, most recently by Finance Minister Heng Swee Keat who said the reserves give Singapore long-term economic stability and also firepower to weather crises such as global financial crises.

He also noted that the reserves have been accumulated over many years as a result of prudent spending by past generations, and suggestions to tap it for Singapore’s growing spending needs should not be taken lightly.

Ultimately, the decision to tap more of the earnings from the reserves comes down to balancing the needs of current and future generations.

This in return throws up philosophical questions with no easy answers — What is Singapore saving for? And how big do the reserves actually should be?

Lawyer Khush Chopra calls for total overhaul to deal with the problems of Singapore’s aging population

Anna Maria Romero
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0
Lawyer Khush Chopra calls for total overhaul to deal with the problems of Singapore’s aging population

Khush Chopra, a local lawyer and advocate for change, featured a video on his Facebook page from Japanese broadcaster NHK world called “Singapore’s Other Side” which highlighted the problems of the country’s elderly needy, as well as what Tony Tay and his organization, Willing Hearts, were doing about it.

In connection to this, Mr Chopra posted at length concerning the problems of Singapore’s aging population, discussed the 300-400,000 elderly Singaporeans living in abject poverty. These citizens are hard-pressed to meet the most basic of needs, which include food, housing, medical care, and transport.

The lawyer shared sobering statistics about the nation’s elderly, such as
—the poverty rate among this demographic rose from 13 percent in 1995 to 41 percent in 2011
—in 2016 around 23 percent of those older than 65 in the formal workforce were earning less than S$1,000 monthly

Mr Chopra pointed out that “ordinary” Singaporeans simply don’t have enough to live on in their later years, and called for action to be taken. He claimed that the “entire system needs an overhaul,” since it may only benefit the wealthy, leaving others behind.

He also believes that “ symptomatic relief in terms of measures like raising cash payouts through existing schemes like for example Workfare Income Supplement ( WIS ) and Silver Support Scheme (SSS), a suitable unemployment insurance and protection system, affordable primary care and medication beyond the Pioneer and Merdeka packages, decent subsidised flats etc…” will not be enough to address people’s needs, while acknowledging that these are important measures that should be taken.

Mr. Chopra believes that what is necessary is a “total systemic overhaul in setting new priorities to achieve a better quality of life for all.”

He describes this overhaul this way, “We need a 360 degree revamp of the system to lower the cost of living, increase wages of the lower and middle income workers to ensure greater purchasing power parity and lower the cost of public housing to allow people to keep more of their money as savings or otherwise to invest into sustainable long term legacy assets ….to start with at least.”

The lawyer evidently believes that it is time for new leadership, and he urges such, through the power of the ballot. His post ends with this:

“We can debate how exactly this can be done but we must set these objectives soonest possible rather than appear to be concerned about these issues but pay lip service the way the PAP Government has done for years now leading to this terrible situation for so many.

What’s the point of a beautiful country if the people are poor?

People of Singapore unite”, he called.

https://www.facebook.com/khushchopra1/posts/10156290105016219

Mr. Chopra’s post can be read in full here.

Read related: Lawyer Khush Chopra echoes Tan Kin Lian’s call to be ‘big-minded,’ encourage alternative politicians

https://theindependent.sg.sg/lawyer-khush-chopra-echoes-tan-kin-lians-call-to-be-big-minded-encourage-alternative-politicians/

Rosy picture for 2019 budget, says Finance minister Heng Swee Keat

Gemma Iso
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0
Rosy picture for 2019 budget, says Finance minister Heng Swee Keat

Finance minister Heng Swee Keat said that despite the country being confronted by several global uncertainties Singapore is strongest when united.

With this show of resilience, the Government will continue to build a caring and inclusive home for Singaporeans, said Heng.

While Budget 2019 is forward-looking, Heng said that no Budget stands on its own.

“Every Budget builds on the past and on the wider foundation of the good work contributed by different public agencies,” he said.

As an example, he cited the recent Singapore Public Sector Outcomes Review report which showed that Singapore has achieved good progress across its economic and social fronts in the past two years.

“GDP (gross domestic product) growth rate is healthy, productivity levels have improved, and Singaporeans are seeing higher real income,” he said.

Singaporeans also enjoy access to affordable and quality healthcare, education and housing, he said, adding that “the picture is positive”.

In 2018, the economy was expected to grow by 3.3 per cent, but growth is tipped to slow to 2.6 per cent in 2019, down from the 2.7 per cent expansion predicted previously,

Bank of America Merrill Lynch economist Mohamed Faiz Nagutha sees 2019 as a challenging year for Singapore, however, a crisis is unlikely.

“As a small and open economy, Singapore will bear the brunt of any significant global slowdown but strong domestic fundamentals and policy buffers should help better navigate the challenges,” the economist said. “Overall, we hold a relatively optimistic outlook for Singapore.”

Singapore Prison files report against U.S citizen and former inmate for revealing the identity of 13 HIV positive inmates

Anna Maria Romero
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0
Singapore Prison files report against U.S citizen and former inmate for revealing the identity of 13 HIV positive inmates

US citizen Mikhy Farrera Brochez, has disclosed the names of 13 HIV-positive inmates to certain government agencies and media outfits.

A police report has been filed against Brochez by the Singapore Prison Service, and investigations into the matter are underway.

On February 17, Sunday, the prison service released a statement saying that the email from Brochez included a picture of a sheet of paper that had the identification numbers of 13 inmates scheduled for a medical examination on March 28, 2018, in Changi Prison Complex.

The list of patients includes his own name. At present, the prison service is in the process of contacting the other people whose names are on the list to inform them of the illegal disclosure.

It also said that the service is coordinating with the Ministry of Health (MOH) to give extra support to the patients who are in need of it.

The prison service added the American “appears to have secured unauthorised possession of a copy of the list prepared for 28 March 2018 by Parkway Shenton, who is SPS’ appointed medical service provider.”

According to Edmund Kwok, the Chief Executive Officer of Parkway Shenton, “We are aware of the incident. We are assisting fully with the authorities and unable to comment further as investigations are ongoing,” as reported by Today.

The public learned last month from MOH that the confidential information of 14,200 HIV-positive people, as well as their 2,400 contacts, had been leaked by Brochez. The patients’ data he collected was from 1985 to 2013.

Brochez was incarcerated in Singapore on a 28-month jail sentence for different fraud and drug-related offences, he had also falsified information concerning his own HIV-status for the purpose of being allowed to work in the country.

After serving time in jail in Singapore, he was deported to the United States in April 2018.

The American has been in the headlines recently for having accused, via Facebook posts, infectious disease specialist Dr Leong Hoe Nam of giving him the names of HIV-positive inmates.

Leong, who provided medical treatment for Brochez while in prison, has denied these allegations and said he himself has never had a copy of the HIV registry in his possession.

Brochez also claimed that he was raped in prison, which is how he contracted HIV.

He also said that he did not have HIV before his prison stint in Singapore and that when he was diagnosed with the condition, he was not given medical treatment.

Singaporean authorities have denied all of Brochez’ allegations, and have called him “ a pathological liar.”

Facebook removed at least two of Brochez accounts on its platform on Thursday, February 14.

Read related: Edwin Tong: Mikhy Farrera Brochez is a ‘pathological liar’

https://theindependent.sg.sg/edwin-tong-mikhy-farrera-brochez-is-a-pathological-liar/

“We’re not done building Singapore”, infrastructure a priority in 2019 budget, says Finance minister

Gemma Iso
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0
“We’re not done building Singapore”, infrastructure a priority in 2019 budget, says Finance minister

In today’s Budget 2019 deliberations, Singapore Finance Minister Heng Swee Keat aspires to forge a subtle equilibrium — achieve economic vigilance while extending substantial social spending prior to elections which may be slated earlier this year.

The 2019 budget will include a variety of policy priorities, one of which is infrastructure.

While international conditions necessitate watchfulness due to weaker demand and the U.S.-China trade pressures are leading to Singapore’s export-reliant economy running at a slower pace than expected, Heng and other officials have repeatedly affirmed that they’re “not done building Singapore.”

.
Rail Infrastructure Fund
In 2018, the Singaporean government launched the Rail Infrastructure Fund designed to accrue savings for major rail line upgrades.

The government injected S$5 billion followed by top-ups as Singapore is planning to spend more to develop new infrastructure over the next 10 years including the expansion of its rail network by over 100km.

The government is also looking into borrowing from the Statutory Boards and government-owned companies which build infrastructure.

The move was expected to assist in spreading the cost of specific large investments in the future such as the KL-Singapore High Speed Rail project and the JB-Singapore Rapid Transit System Link project.

In a speech, Heng said that a government guarantee will enhance the confidence of creditors.

“This is another way to use the strength of our reserves to back our infrastructure projects without directly drawing on the reserves,” he stressed.

Building homes
Infrastructure development goes beyond building up transport links. Singapore is also investing in major projects, such as the Remaking our Heartland programme to renovate towns and districts in Singapore, building new schools and hospitals, and developing regional centres such as Woodlands and Jurong.

These undertakings are expensive but essential. They serve to boost the city-state’s economy, create jobs, benefit Singaporean families, and represent the confidence Singaporeans have in the country’s future.

Due to the limitations of national resources, there needs to be meticulous and judicious investment decisions to guarantee that public funds are spent with caution, balancing different priorities.

For this infrastructure spending, investments are crafted for the long-term and targeted at preparing Singapore for the future.

It is believed that Singapore is able to do this because decisions to spend are always directed by the key standard of fiscal sustainability , meaning, spending only what the country can afford, while providing a better future for everyone.

In this manner, future generations of Singaporeans are guaranteed to benefit from the decisions made today.

Significant improvements to education system anticipated in Budget 2019

The Independent
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0
Significant improvements to education system anticipated in Budget 2019

Education Minister Ong Ye Kung said on Sunday (Feb 17) that there would be major improvements in the education system going forward.

On December 27 last year Ong disclosed some of these plans, the first initiative was lessening the student’s exam load and decreasing the focus on academic results in order to enhance the “balance between the joy of learning and the rigour of education,” he said.

The second initiative involved the launching of UPLIFT (Uplifting Pupils in Life and Inspiring Families Taskforce) which is an inter-agency group dedicated to boosting student’ motivation levels and addressing absenteeism and drop-out rates of those coming from disadvantaged households to give them better leverage.

This and the lowering of school fees for independent schools starting April 2019 was also  released by the Ministry of Education.

More information on Mr. Ong’s initial statement below:

https://theindependent.sg.sg/school-fees-for-independent-schools-to-be-lowered-up-to-50-for-students-from-low-and-middle-income-families-starting-april-2019/

Although the details of the third thrust in the educational revamp, which will also be a multi-year effort, was not fully disclosed, he said that “it will significantly improve the education system.”

The full announcement will be released during the upcoming Committee of Supply debate which will occur after the Finance Minister Heng Swee Keat’s Budget 2019 statement in Parliament this afternoon.

When he was asked about the engagement of the 4th generation younger leaders in Budget 2019, Ong said, “It’s not just the budget debate but any announcement now coming from any of the younger ministers, there is a good chance that we have gone through a debate and careful deliberation before coming up with new policies.”

He added that the younger ministers have already finished 30 of the 90 ministerial community visits to the constituencies in Singapore. They plan to complete the remaining 60 visits in a year and three months.

With the upcoming elections, the members of the public are extra cautious regarding the initiatives and actions of government officials.

When the same was mentioned to Ong concerning their community visits, he shared that they have been doing this for three years and “if it were a shifting of gears [into election mode], it would have started three years ago.

“So, I suppose the day we finish elections; we change gears to prepare for the next.”

He said that “Every week we are out here in the open. Residents sometimes are surprised to see us, but I think we get the conversation going, have a good sense of ground worries, concerns and what they are happy about, what they are not so happy about.”

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