Singapore’s budget in 2021: To tackle the challenges ahead and emerge stronger together

Each year, Singapore releases a budget – allocating funds to key areas that will set the tone for the city-state in the coming year. Last year’s theme was about meeting the economic challenges of COVID-19, and this year continues on a similar note as the island nation aims to “tackle challenges ahead and emerge stronger together”. Following the budget statement delivered by Heng Swee Keat, the Deputy Prime Minister and Finance Minister, on February 16th, this Pacific Prime Singapore article will summarize noteworthy points.

Singapore Budget 2021 Highlights

Singapore’s budget 2021 sets aside SGD $11 billion for the COVID-19 Resilience Package, which intends to provide relief as a result of pandemic-related economic fallout. In addition to this, Singapore has also allocated SGD $24 billion over the next three years for a package to build a vibrant business community, offer financial capital, and develop the city-state’s workforce. What’s more, Singapore will also prioritize affordable healthcare, robust education, home ownership, and issues of sustainability.

COVID-19 Resilience Package

Immediate support will be offered under the following categories.

To safeguard the health of Singaporeans:

• Vaccinating residents
• Keeping up with precautionary measures

To continue to support workers and business:

• Helping firms retain local workers in various sectors via the Job Support Scheme
• Facilitating workers moving to jobs in growth areas via schemes within SGUnited Jobs and Skills Package
• Funding businesses via loan and financing schemes
• Supporting workers who have either lost their jobs or experienced significant income loss

To provide more targeted support for the worst-hit sectors, including:

• Aviation sector
• Land transport sector such as taxi, private hire car drivers, etc.
• Arts and culture sector
• Sports sector

Support over the next three years

Longer-term structural challenges will also be addressed under the following categories.

To grow a vibrant business community:

• Deepening Singapore’s position as a Global-Asia node, restoring physical connectivity
  • Investing in on-arrival testing and biosafety systems at Changi Airport

• Expanding digital connectivity and the virtual economy
  • Transitioning from physical to digital modes of transactions across geographical borders
  • Shifting from tangible to intangible assets in value creation
• Accelerating innovation with partners around the world
  • Launching new innovative ventures through the Corporate Venture Launchpad – useful for larger businesses which want to rekindle a startup mindset.
  • Other platforms include the Open Innovation Platform (OIP) and the Global Innovation Alliance (GIA)
• Promoting the integration of ASEAN markets

To catalyze a wide range of capital:

• Providing high-growth enterprises like startups with financial capital by extending and enhancing the Enterprise Financing Scheme – Venture Debt program
• Co-funding mature enterprises’ (all sizes) adoption of digital solutions and new technologies through the Emerging Technology program
• Helping firms hire a core digital team, and in developing and implementing digital transformation roadmaps through the new Digital Leaders program

To create opportunities and redesigning jobs:

• Enhancing salaries of nurses and other healthcare workers such as care support staff
• Limiting Singapore’s reliance on foreign workers where possible
  • Support foreign-to-local skills transfer via the Capability Transfer program
• Supporting businesses in redesigning jobs by enhancing the Productivity Solutions Grant – Job Redesign
• Helping Singaporeans develop skills, creativity, and talents via SGUnited Jobs and Skills Package
  • Helping workers who need additional support before landing a job by extending the support for the SGUnited Skills, SGUnited Traineeships, and the SGUnited Mid-Career Pathways Programs
• Transforming the economy to grow opportunities for Singaporeans
  • Supporting about 500 Fellowships under the new Innovation and Enterprise Fellowship Programme over the next five years to meet needs in areas such as cybersecurity, artificial intelligence and health tech

Other noteworthy areas

Beyond economic opportunity, the Singapore government also pledges to subsidize healthcare facility, invest in education, and promote home ownership. In addition to this, Singapore will also embrace sustainability and build a sustainable home for generations to come. This includes treating climate change as a serious, existential threat. As such, Singapore will continue to support international and regional efforts towards climate action.

Get in touch with Pacific Prime Singapore today!

Pacific Prime Singapore is a global health insurance broker and employee benefits provider with over two decades of experience. We partner with top insurers including, but not limited to Aetna, Allianz, AXA, Cigna, and RHI & Bupa Global. Whether you’re an individual or a business in Singapore, we can help you find tailored insurance solutions that meet your exact requirements. Get in touch with us today to learn more about what we can do for you!

• Author
• Recent Posts

Suphanida Thakral

Senior Content Creator at Pacific Prime Singapore

Suphanida is a Senior Content Creator at Pacific Prime, an award-winning global health insurance and employee benefits specialist.

With over 5 years of experience in the field, Suphanida spends the majority of her day synthesizing complex pieces of insurance-related information and translating this into easy-to-understand, engaging, and effective content across a variety of media such as articles, infographics, whitepapers, videos, and more.

Suphanida is also responsible for planning and publishing three whitepapers released annually by Pacific Prime: The State of Health Insurance Report, The Cost of Health Insurance Report, and The Global Employee Benefits Trends Report. Additionally, she handles the LinkedIn profiles of Pacific Prime’s Founder and CEO, as well as Global HR Lead.

Suphanida’s strengths lie in her strong research and analytical skills, which she has gained from her BA in Politics from the University of Warwick and Erasmus Mundus Joint MA in Journalism from Aarhus University and City, University of London.

Being of Thai-Indian origin and having lived, studied, and worked in Thailand, the UK, and Denmark, Suphanida also has a unique, multicultural perspective that helps her understand the struggles of expats and globetrotters.

Outside of work, she enjoys traveling to new places and immersing herself in different cultures.

Latest posts by Suphanida Thakral (see all)

• The Pros and Cons of the Singapore Healthcare System - February 27, 2023
• Social fitness: Why you should consider embracing it - February 6, 2023
• Singapore launches new M-SEP scheme allowing firms to hire more S-pass and work permit holders - January 26, 2023