Is this an election Budget? PM Wong responds

If you think the Budget announcements this year have been generous, it's not because of the upcoming General Election (GE), Prime Minister Lawrence Wong said in a response uploaded to his social media accounts on Tuesday (Feb 25).

The GE is expected to take place this year, and some are wondering if this has influenced the Budget 2025 statement PM Wong delivered on Feb 18.

"The fact is that the Budget coincides with a year when elections will be held," he began. "If the Budget is deemed to be generous, it's only because we have managed our finances responsibly and well."

The government is doing "everything they can" to help Singaporeans cope with cost pressures, he also said. "That has always been our focus and will continue to be so."

Some of these measures are provided to Singaporeans in the form of vouchers - those aged 21 to 59 will receive $600 in SG60 vouchers across the month of July, while those aged 60 and over will get $800.

Additionally, another $800 in Community Development Council (CDC) Vouchers will benefit about 1.3 million Singaporean households, with the first $500 to be disbursed in May 2025 and the remaining $300 in January 2026.

Support for Singaporeans (April - August)

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Vouchers over cash?

Another question Wong addressed was the use of vouchers over cash in Budget 2025.

Wong explained that there are cash support measures in the Budget, and that Singaporeans will continue to get cash payouts from the Assurance Package and GST vouchers.

Specific to SG60, however, the government has decided to give out vouchers instead.

Explaining the decision, Wong said that the response towards CDC vouchers has been very positive, and that experience has spurred on the use of vouchers for SG60.

These vouchers, he said, will help Singaporeans cope with the cost of living pressures and benefit participating heartland hawkers and merchants.

'Investing in the future'

Wong also tackled a question on whether the measures in Budget 2025 are temporary in nature.

"I know there is a lot of attention on the headline items in the Budget, but if you look at the SG60 package as well as the cost-of-living support measures, they only make up about five per cent of our overall Budget," he said.

The bulk of government expenditure lies in structural, longer-term programmes, he added. 

And in this year's Budget, the Government is taking further steps to strengthen Singapore's economy and social support system. This includes the SkillsFuture programme and long-term care for seniors.

"At the same time, we are investing in the future to make sure that we are able to expand access to clean power and to protect our coastlines against rising sea levels," he said.

To aid Singaporeans in determining what Budget 2025 has to offer, Wong also highlighted the Support For You Budget calculator.

Explaining that he understands why it might be "hard to keep up" with all the measures for Budget 2025, Wong recommended the use of the online tool to help with organisation.

You can try out the tool here.

For more on Budget 2025, visit our microsite.

khooyihang@asiaone.com

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