SINGAPORE – The prudent and responsible approach that the Government has taken to managing public finances and cost pressures is especially crucial in these uncertain times, said Prime Minister Lawrence Wong on April 22.
In a video posted on his social media channels the night before Nomination Day, PM Wong said: “I will not gamble with your lives or your future.”
He said the Government will always support, stand with and go all out to secure a bright future for Singaporeans.
Singapore goes to the polls on May 3. With Nomination Day on April 23, that gives candidates the minimum nine days of campaigning before Cooling-off Day on May 2.
PM Wong cautioned Singaporeans that they will hear “many tempting proposals” in this election that may sound appealing, although not all are sound.
“If they weaken our public finances, the burden will fall on our children. If we mismanage the economy, investors will lose confidence and our incomes will suffer,” he said.
Singapore would then not have the resources to sustain permanent support schemes or even to provide temporary relief, he added.
In recent Budgets, the Government has rolled out extensive support measures to allay concerns over inflation and job security, among other things. These include vouchers to ease cost-of-living pressures, and a scheme to help those who have lost their jobs but are making efforts to bounce back.
PM Wong said he knows cost-of-living pressures are a real concern. Other countries feel them too, as they are caused by hot wars in Europe and the Middle East, along with global supply chain disruptions, tariffs and trade wars, he added.
A comprehensive support package was announced in February during Budget 2025, as the Government had foreseen some of these challenges earlier in the year, he said.
For instance, a typical family of four with two young children can receive around $5,000 in support this financial year.
Measures will be rolled out in the coming months, he said, including CDC vouchers in May, SG60 vouchers in July, Child LifeSG credits from July onwards, and U-Save rebates in July and October.
“So nearly every month, you can expect something,” he said.
PM Wong said the Government is monitoring the situation closely and will step up support if conditions worsen.
Beyond this year, the Government will continue the help for as long as it is needed, he said.
This can be done because the PAP Government has long managed the economy well – and will continue to do so – and Singapore’s public finances are healthy and strong, he added.
The Prime Minister also touched on how Singapore handles its public finances. Many other countries borrow heavily and pay interest on their loans, but Singapore does not, he said.
Instead, the Republic has reserves that are invested, and all Singaporeans benefit from the investment income generated, he said.
PM Wong said: “So at a time when other governments are looking for ways to trim spending or to cut benefits, we are able to deliver more support and enhance social safety nets for everyone.”
For example, Workfare for lower-wage workers has been enhanced and seniors get extra support, especially the Merdeka and Pioneer generations, he added.
The bulk of Singapore’s social spending – which is rising and is now the largest item in the budget, having overtaken defence spending – is on such permanent schemes, said PM Wong.
“That is how we provide real, sustained support to help every Singaporean with the cost of living and at every stage of life,” he said.
Ultimately, he added, the best way to manage cost pressures is to keep incomes rising faster than inflation.
This has been happening in Singapore, as real incomes for Singaporean households have gone up steadily over the years, he said. For this to continue, Singapore’s economy must keep growing, and the Government must manage it prudently and responsibly.
In a separate video posted earlier in the evening, PM Wong said that amid the current global climate – where it feels like “more walls are going up” and “countries are pulling back” – Singapore will stay open, bold and ready to work with the world.
For Singapore, as a small nation, its greatest strength is not its size but the fact that “we show up, not just for ourselves, but also for the world”, he said.
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