The report says that decades of strong financial stewardship have afforded Singapore the wherewithal to soften the blow of the pandemic for businesses and households, through a range of assistance schemes.
It noted that Singapore provided differentiated wage support to companies by subsidising wages depending on the impact of the pandemic on an industry. During the pandemic, the government had provided more wage support to sectors that were harder hit – such as in aviation.
Businesses were supported through measures such as tax rebates and loan support programmes, with the government taking on the majority of the risk for loans to companies.
The report also noted the measures taken to minimise adverse long-term economic effects of the pandemic. For example, at the household level, support measures ranged from universal cash payouts and additional cash grants to the less privileged, the elderly, and the self-employed, to job support schemes for recent graduates and those seeking work. Households received subsidies on utilities and children from low-income households received meal support.
During the pandemic, the government sought to accelerate the uptake of digital services. It focused on small businesses (including helping hawkers to go digital), students, and the elderly.
The Ministry of Education brought forward its plans to provide all secondary school students with digital devices. Singapore’s fourth pandemic support budget also included incentives to encourage residents, particularly the elderly, to acquire digital devices and learn digital skills.
The report concludes that Singapore’s use of resources to mitigate the pandemic while building capacity for future growth speaks well of its long term planning. Singapore ranks global 1st for Financial Stewardship in the CGGI this year
