Hansard, Tuesday, 16 February 2021

1 Mr Desmond Choo asked the Prime Minister (a) whether there are signs of significant increase in securities trading fueled by online discussions and social media chat groups; (b) what are the protections against such activities destabilising the smooth running of the securities market; and (c) whether MAS is considering safeguards.

Mr Speaker, Sir, happy new year to everybody. There have been no signs that discussions in online forums or social media chat groups have led to any significant increase in the trading of securities listed in Singapore. Notwithstanding this, the Monetary Authority of Singapore (MAS) and Singapore Exchange Regulation (SGX RegCo) are on heightened alert to such activities.

Recent events in the US have highlighted the risks of excessive trading driving sharp movements in price. There are important lessons to learn from this experience, and we need to be alert to similar risks potentially occurring in our own markets.

While investigations by the US authorities are on-going, the triggers for the recent event were not unfamiliar to the industry. Certain investors had accumulated large short positions, exerting downward price pressure in the affected stocks. This was followed by online discussions amongst retail investors to buy the stocks, which increased their prices. These prices have since fallen from their peaks, raising a new issue of whether the price increases were sustainable.

We have various safeguards in place to address such risks. There are, by and large, two scenarios we are safeguarding against.

One is the “pump and dump” scenario, where certain parties incite trading to push up prices, including through online forums and social media chat groups. Once prices rise to specific levels, they may sell then the securities which they had accumulated earlier. When prices eventually fall back down, other investors could suffer quite heavy losses.

A second scenario is the “short and distort” scenario, where certain investors take a short position on certain securities and use false or misleading information to encourage more short-selling. They can make profits by covering their positions after prices have fallen.

Our safeguards address such scenarios in three ways. One, providing market transparency; two, curbing any sharp price movements; and three, enforcing against market misconduct. Let me describe each of them briefly.

First, providing market transparency. When there are unusual price movements in a company’s securities, SGX RegCo may issue a query and the company must publicly clarify if it is undertaking any activity that would warrant such a price change. If market rumours are influencing stock prices, the company is required to provide a prompt and full response to any allegations. As an early warning to investors, SGX RegCo may also issue a “Trade with Caution” alert on securities where there is potential for disorderly trading. In addition, aggregated short positions and trading volumes are published for each security. These measures provide transparency to investors, allowing the market to self-correct where there is excessive trading that is not backed by business fundamentals.

Second, to curb the effect of a sharp movement in the price of a security, a circuit breaker may be triggered that temporarily suspends trading. SGX may also impose additional conditions such as restricting specific market participants from trading or requiring investors to place more collateral. In extreme cases, affected securities may be suspended from trading altogether until further notice.

Finally, firm enforcement action will be taken against persons who breach the law. In particular, it is illegal under the Securities and Futures Act to disseminate misleading information or use manipulative and deceptive practices.

MAS and SGX RegCo have recently issued statements advising investors on the risks of trading in securities based on discussions on online forums. Investors should refer to these advisories and be alert to the risks of trading in a volatile market.

Mr Desmond Choo.

I would like to thank the Minister for his clarification. I have two points of clarification. The first is, with our safeguards in place, what is the likelihood of short squeezes happening in Singapore and thus, leading to massive market dislocations? The second question that I have is, what is MAS' position on having platforms like Robinhood being set up in Singapore? We know that Robinhood was one of the key platforms that Reddit band had used to try to corner the market, create short squeezes and thus, create massive market dislocations. Would we put in safeguards to prevent them from setting up in Singapore? Or would we create a regulatory environment that will control their behaviour, like what we have seen in the US?

On short squeezes, the short positions in Singapore compared to the US, are much less. As to the reasons why, there can be a few hypotheses. One, maybe, it is the culture of investors here. Two, it is also the level of disclosure; so, if you are a listed company, there is a high level or standard that you have to abide to in disclosing your business and if anything that is happening that is material to your business. So, because of the transparency, investors have more information to act on. And thirdly, there are also mechanisms in the US such as having single stock options – you can have many puts, for example; it is equivalent to short selling – that also exposures themselves to more short positions, resulting in short squeezes; which we do not have here. So, for various reasons, plus all the measures I mentioned earlier – enforcement, being alert to such price surges, implementing circuit breaker. All these contributed to it.

We will continue to be on the alert to prevent such events, such short squeezes from happening.

As for platforms, you know how online platforms are. It is hard to control. So, I think, ultimately, it is still about having a good, transparent, efficient regulatory regime and functioning of the market to prevent such things from happening in the first place.

2 Mr Christopher de Souza asked the Minister for Home Affairs in light of the recent detention of a 16-year-old Singaporean who planned and prepared to conduct terrorist attacks against Muslims in Singapore, what further legal tools should be put in place to bolster and support the Home Team’s operational capability to detect, trace and apprehend self-radicalised terror suspects before any terror incident occurs.

3 Mr Christopher de Souza asked the Minister for Home Affairs what further measures can be undertaken to denounce terror attacks, whenever they take place around the globe, so as to prevent self-radicalised copy-cats from thinking they can replicate such horrific terror attacks in Singapore.

4 Mr Christopher de Souza asked the Minister for Home Affairs what legal measures can be undertaken to tighten up the Arms and Explosives Act (Chapter 13), or other relevant legislation, so as to prevent self-radicalised members of the public from getting their hands on firearms or explosives to carry out terror attacks in Singapore.

5 Mr Desmond Choo asked the Minister for Home Affairs in view of the recent detention of a teenager who was preparing to conduct terrorist activities in Singapore (a) whether the investigations are conclusive that he was operating as a “lone wolf”; (b) what are the current efforts to promote a better understanding of race and racial issues amongst younger Singaporeans; and (c) what further efforts are needed within the schools and youth groups.

6 Mr Desmond Choo asked the Minister for Home Affairs what are the current safeguards on younger residents getting access to offensive weapons or components and materials on online e-commerce platforms.

7 Mr Murali Pillai asked the Minister for Home Affairs what are the facts and circumstances that led to the detention of a 16-year-old Singaporean on the grounds that he planned to use a machete to attack Muslims at two local mosques during the 2nd anniversary of the 2019 attacks in Christchurch, New Zealand.

8 Mr Lim Biow Chuan asked the Minister for Home Affairs (a) what actions will be taken to improve harmonious relationships between different religious groups; and (b) whether the different religious organisations can be equipped with knowledge to look out for members who may become self-radicalised.

9 Mr Murali Pillai asked the Minister for Home Affairs what steps have been identified by the Government to counter the trend of persons being self-radicalised through the Internet into inciting violence against persons from different religious groups.

Mr Speaker, please allow me to take together the eight questions on the recent arrest of the 16-year-old self-radicalised Singaporean and measures against extremism and radicalisation from Mr Christopher de Souza, Mr Desmond Choo, Mr Murali Pillai and Mr Lim Biow Chuan.

Please proceed.

Mr Murali asked for the facts and circumstances of the case and Mr Choo asked if investigations were conclusive that he had operated as a “lone wolf”.

The 16-year-old Singaporean was arrested in December 2020. He had made detailed plans and preparations to attack Muslims at two mosques using a machete. He is the first detainee to be inspired by far-right ideology and he is the youngest individual dealt with to-date under the ISA for terrorism-related activities. He was self-radicalised, motivated by a strong antipathy towards Islam and a fascination with violence. He was inspired by Brenton Tarrant, who attacked two mosques in Christchurch, New Zealand in March 2019. The 16-year-old Singaporean watched the video of Tarrant’s attack against the two mosques and read Tarrant’s manifesto. He also watched propaganda videos produced by the Islamic State in Iraq and Syria, or ISIS, and came to the erroneous conclusion that ISIS represented Islam, and that Islam called on its followers to kill non-Muslims.

He had planned to carry out attacks on 15 March 2021, the second anniversary of the Christchurch attacks, at Assyafaah Mosque and Yusof Ishak Mosque, near his home. To prepare for this, he conducted online reconnaissance and research on both mosques; devised a plan to procure a vehicle to use during the attack; bought a tactical vest from an online platform which he intended to adorn with right-wing extremist symbols and strap on his mobile device to livestream the attack; watched videos to learn how to wield a machete to inflict fatal wounds; and intended to purchase one from an online marketplace. He also wrote two documents which he intended to disseminate prior to his attacks. Both documents expressed his misguided hatred towards Islam, as well as support for the Christchurch attacks and far-right ideology.

ISD’s investigations found that he was operating alone. There was no indication that he had tried to involve others in his plans.

This case shows clearly that violent impulses are not restricted to any particular racial or religious group. People who have been exposed to hate speech can become influenced by it. The 16-year-old youth will undergo psychological and religious counselling to correct his radical ideology and address his propensity for violence. We hope that he will respond positively and will be successfully rehabilitated, so that he can carry on with his life.

Mr de Souza, Mr Choo, Mr Lim and Mr Murali asked about our counter-extremism and counter-radicalisation efforts.

Singapore has been strengthening our laws and building resilience against terrorism. For example, the updated Terrorism (Suppression of Financing) Act came into force in April 2019. Key changes included expanding the prohibition on financing terrorism activities to include terrorism training, and increasing penalties for failing to disclose information relating to terrorism financing to the authorities.

The detection and arrest of the 16-year-old Singaporean underscores the continued importance of the Internal Security Act, to enable the authorities to act pre-emptively before attacks happen, thus preventing injury, loss of life and damage to our communal harmony.

With regard to offensive weapons and firearms, we exercise tight controls under our laws, and these apply regardless of the modality of sales, be it through physical retail stores or online e-commerce platforms. The Guns, Explosives and Weapons Control Act was passed by Parliament in January this year. It replaced the Arms and Explosives Act and strengthened our regulatory and enforcement regime.

We agree with Mr de Souza that it is important for Singapore to denounce terror attacks whenever they happen, to send a clear message about where we stand as a people on this.

The Government has publicly condemned overseas terrorist attacks. And we are also fortunate to have the support of our religious leaders, who have been proactive in publicly condemning terror attacks and reminding their followers to stay calm and not react to expressions of extreme sentiments and acts of violence in the name of religion.

For example, in the wake of the Christchurch shootings in March 2019, various faith groups issued statements to denounce the shooter’s actions and call for Singaporeans to remain united and reject extremist ideas. Various ground-up interfaith initiatives were also organised, including a youth forum and a remembrance ceremony.

More recently, following the arrest of the 16-year-old youth, our local Christian and Muslim religious leaders met to reaffirm the mutual trust between both communities and condemn the teenager’s plot to attack the two mosques. The leaders of other religious communities echoed the call for Singaporeans to rally together in the fight against terrorism and extremism.

Mr Lim asked how we can improve relations between different religious groups. By showing their solidarity against violence and engaging in regular interactions, joint activities and community projects, our religious groups have maintained and strengthened harmonious relations, even in the wake of incidents that threaten to undermine our social cohesion.

Such efforts are also important in sending a clear signal that our local religious communities stand firmly against radical ideologies and that any copycat attacks will not find traction or support here.

Mr Lim, Mr Choo and Mr Murali asked about our efforts on educating religious groups, youths and the general public on countering radicalisation, and deepening students’ understanding of racial and religious issues.

The SGSecure movement is a call to action to Singaporeans to unite and prepare for the threat of a terrorist attack. We have been reaching out to different groups in the community, including religious organisations, to raise awareness of overseas and local threats of terrorism and radicalisation. We conduct programmes such as interfaith dialogues and activities and visits to the Harmony in Diversity Gallery to sensitise the public to cultural and religious nuances and sensitivities, as well as to deepen mutual respect and understanding among our different races and religions.

We have been sharing with the public how to detect early signs of radicalisation, such as displaying a keen interest in people with extremist views, supporting the use of violence as a solution to achieve one's agenda and expressing low tolerance and resentment towards multi-racial and multi-religious living. We urge the community to stay alert and to inform the authorities of suspected cases of radicalisation, so that we can intervene early and prevent such persons from harming themselves and others.

Mr Choo asked us what more we can do in schools. We have been working closely with MOE to engage younger Singaporeans on SGSecure. All schools have a framework to drive SGSecure initiatives, which is overseen by school leaders. Age-appropriate SGSecure content is incorporated into story books and card games for students, as well as assembly talks and mobile exhibitions by Home Team agencies.

ISD has also been working with schools, Institutes of Higher Learning and community organisations to conduct counter-terrorism and counter-radicalisation outreach activities for students, youths and educators since 2007. These include workshops, talks and seminars. With the COVID-19 pandemic, ISD has leveraged online platforms for its outreach efforts. For example, ISD conducted webinars for educators in Institutes of Higher Learning last year.

Workshops for school counsellors have been conducted since 2016 to sensitise them to the terrorism and radicalisation threat. As of 2019, over 260 School Counsellors in Secondary schools, as well as a number of Student Welfare Officers, have attended the workshops. Each workshop includes a visit to the ISD Heritage Centre to sensitise them to security threats, as well as a one-day training session which provides them with a better understanding of the radicalisation process and the factors, especially among youths; the behavioural indicators to look out for; and the intervention measures they can take. Teachers are encouraged to watch out for early signs of possible radicalisation, such as the avid consumption of radical materials, or expressions of support for terrorist entities and causes.

Community partners such as the Religious Rehabilitation Group (RRG) and the Inter-Agency Aftercare Group also conduct counter-ideology outreach activities targeted at students and youths. For example, the RRG has been working with schools to organise assembly talks, workshops, as well as learning journeys to the RRG Resource and Counselling Centre. Since the COVID-19 pandemic, the RRG has intensified its digital outreach efforts. It produced over 60 online lectures, "live" postings, online engagements and videos for the community, including for youths.

The RRG has also reached out to various inter-faith and religious groups. For example, in February 2020, the RRG, together with the Geylang Serai Inter-Racial Religious Confidence Circle (IRCC) organised a forum entitled "Harmony Amidst Crisis" to show the solidarity of Singaporeans. Leaders from the various faiths came together to observe a minute of silence for those affected by the COVID-19 pandemic, and also to start the campaign "#outbreak_never_break_us". The forum featured speakers who touched on the COVID-19 pandemic, in particular, the threat of radicalisation and how extremists have been leveraging the pandemic in their recruitment efforts.

Within the classroom, topics on multiracialism and the importance of racial harmony are taught in subjects like Character and Citizenship Education (CCE), History and Social Studies. In Secondary schools' Social Studies, students examine the impact of social and racial and religious prejudice and misconceptions on people and society. They explore the roles played by individuals and groups in strengthening interactions between different races and they consider how they can play their part to promote social cohesion. As part of the refreshed CCE curriculum, Secondary school teachers will receive specialised training to facilitate discussions on contemporary issues, such as race and religion, to hone students' perspective-taking skills as well as engender a sense of empathy and respect. All schools will also establish a peer support structure by 2022, where students will learn to support each other and be taught upstanding behaviour, speaking up for their peers where necessary, including in instances of racism and hate speech. These social bonds are the strongest counter possible against the spread of exclusivist and extremist ideologies.

Outside the classroom, there have also been efforts to encourage interracial and interreligious dialogue. For example, the "Regardless of Race" dialogue series organised by OnePeople.sg and supported by MCCY, provides a platform for conversations on sentiments, issues and norms pertaining to race. Since 2019, five sessions have been organised, involving a total of more than 500 participants. Another community-driven initiative to provide more safe spaces for open conversations on religious issues is the "Ask Me Anything" series facilitated by a non-governmental organisation, the WhiteHatters Ltd.

MCCY organised a Hackathon for Social Cohesion in November and December 2020, where more than 200 youths were invited to pitch innovative ideas on strengthening social cohesion and implement projects that promote social, racial and religious harmony.

Mr Speaker, a cohesive and united society is the best defence against terrorism and radicalisation. We will continue to strengthen our efforts to build a resilient community that is prepared for a terrorist attack in Singapore and plays an active part to safeguard Singapore's unity in the face of this threat.

Mr Christopher de Souza.

Sir, I thank the Minister of State for his comprehensive reply. On the one hand, a 16-year-old wielding a machete can cause serious harm, what more in a religious worship place. Therefore, taking this seriously and the detention was the correct thing to do.

On the other hand, he is just 16 years old and he has a 16-year-old mind. So, I would like to ask the Minister of State, as part of his rehabilitation, of his re-intergration and re-inclusion into multiracial, multicultural Singapore, what would ISD do and the stakeholders do to rehabilitate him, especially given the fact that the Minister of State has disclosed that he is the youngest detainee under the ISA to date. So, my question is really about the rehabilitation of this young man.

I thank the Member for the question. The rehabilitation approach adopted by ISD is a holistic, intensive and long-term one, comprising religious, psychological and social rehabilitation – these three factors together. It is also customised to the individual's context and the circumstances. So, let me elaborate on each of these factors.

First, on religious rehabilitation. All detainees, those released back to the community on Restriction Orders (RO), will have to attend religious counselling sessions at least once a month. The religious counselling sessions aim to provide them with the proper religious teachings and interpretation so as to counter the radical ideology they have imbibed from online and other sources.

Secondly, on psychological rehabilitation. Through their detention and even after their release on RO, detainees work closely with psychologists to address the propensity for hatred and violence, and vulnerability to radical influence. The psychologists will also help them to reframe the faulty reasoning that underlie their beliefs. As part of this process, the psychologists regularly assess behavioural and cognitive aspects of the detainees' progress in rehabilitation.

And third, and just as important, on social rehabilitation. Social rehabilitation is the form of social support that is provided to enable the detainees to re-integrate smoothly into society upon release and to stay on track in the long run. Family, in this regard, play a key role and key part in this process. Detainees are granted weekly family visits to preserve their connection to the family unit as much as possible. An aftercare officer is also assigned to each detainee family to provide social and other support where relevant. There is also support provided by the Inter-Agency Aftercare Group. Through the group's network of welfare organisations and regular interactions with ISD, case officers provide detainees with another source of social interaction and support. These regular interactions are also a platform for rehabilitation stakeholders to guide the detainees. Even after they are released, they receive continuous supervision through the RO regime, with ISD case officers providing guidance to them and to help them with a smooth re-integration into society.

Specifically for youth cases, priority continues to be given to address the ideological misconceptions that underpin the radical mindsets. Additional attention is also paid and in this case, to this 16-year-old youth, to address the non-ideological factors that led to their radicalisation, such as the sense of belonging and identity, critical thinking skills to discern radical rhetoric online, mental resilience, correlated stresses; and in particular, efforts are made to enable detainees to continue with their education where it is practicable. This was assessed to be critical in keeping these youths motivated and focused. ISD works with their families, the schools and other rehabilitation stakeholders to create a conducive environment to facilitate their studies.

A mentoring programme tailored to meet the rehabilitation needs of these youths was also introduced in 2016. The mentor-mentee relationship will continue after the release, to ensure that they stay focused on pro-social goals.

The rehabilitation for the 16-year-old youth as mentioned earlier on, will be largely guided by the approach that I have detailed above. We will also apply some of the best practices from the rehabilitation of previous youth cases. For example, in consultation with his parents and former school, ISD has made arrangements to facilitate his continuing education while in detention. This includes arranging for tutors to assist him in preparing for his national exams this year. A mentor has also been identified for him. In addition, ISD is working very closely with the National Council of Churches of Singapore, NCCS, which is keen to be involved in the youth's rehabilitation to identify a suitable Christian counsellor for him.

Mr Murali Pillai.

Mr Speaker, Sir, I thank the hon Minister of State for his detailed answers. We owe a debt of gratitude to the men and women of ISD, who have been vigilant in thwarting this attack, which would otherwise have very serious consequences on Singapore and Singaporeans.

My supplementary question relates to this alarming trend of people outside Singapore trying to radicalise impressionable youths. What can we do in Singapore to sensitise our youths to this trend and what steps can they take to report upwards if their friends are actually engaged in such websites.

I thank the Member for the supplementary question. In my earlier reply, I have mentioned this is one of the key efforts that we are putting upstream to ensure that we educate our people. And that is the best line of defence – to ensure that they understand what are the right teachings and not be swayed by radical and extremist views. So, working with MOE, working with private organisations, MCCY, we want to reach out to our youths in various platforms, through various means, even in the areas that they are very keen and very interested and are very good at, through social media as well as through online platforms.

I think through these efforts we try our very best to inoculate our youths of today, to allow them to discern what are the right messages, what are the right doctrines and not be swayed by radical ideologies such as the case that has been said here.

There is no easy, fool-proof solution when it comes to online access, we all know that. It is a challenge that we all face. We have to constantly look at how we can educate our youths through the school system. But I think also in terms of family, the roles of family, friends and close ones, are very important to make sure that we support our young people and also supervise, to some extent, the access they have online as well.

Mr Lim Biow Chuan.

May I ask the Minister of State, how often does ISD meet up with groups of religious leaders, brief them about what to look out for when reaching out to their members of their religious groups? My concern is really whether the ISD brief the pastors, brief the priests, brief the imams on what to look out for amongst their members who may be radicalised. Because if they do not even know what to look out for, then they can hardly report upwards.

Yes, Sir, ISD regularly engages the religious groups. I do not have the exact frequency. And in the engagements, besides sharing with them what is the current situation, one of the things that we always share with them is to look out for the signs. I have highlighted during my speech earlier on the signs that we have to look out for – one, the propensity for violence, a misguided understanding of certain religious beliefs and, of course, some signs about the individual's attitude towards multiculturalism and multiracialism. These are the tell-tale signs that, in terms of the religious leaders' understanding of their followers, they play a very key role because I think in their interactions with their followers, they will come across different expressions of their understanding of the religion as well as the situation in Singapore.

So, ISD does that very regularly, not just with the religious leaders' groups but also with educational institutions as well as community groups to spread this important message and also to allow them to understand what are the tell-tale signs to look out for.

10 Mr Gerald Giam Yean Song asked the Minister for Foreign Affairs (a) whether there has been an increase in the number of requests for consular assistance from Singaporeans in Myanmar following the recent military coup; (b) whether ASEAN will be issuing a joint statement on the situation in Myanmar; and (c) how will these developments impact ASEAN and its relations with major powers in the region.

Mr Speaker, apart from Mr Giam, I think Mr Christopher de Souza also asked some Questions for Written Answer. I know the situation in Myanmar is evolving and there may be other Members of Parliament who are following this closely, so, I will give somewhat of a more comprehensive answer.

The National League for Democracy (NLD) achieved a landslide victory in the November 2020 General Elections. In the early hours of 1 February 2021, the military in Myanmar, the Tatmadaw, detained State Counsellor Aung San Suu Kyi, President Win Myint and other leaders of the NLD government. The detentions occurred in the country’s capital just before the new Union Parliament was scheduled to convene. Daw Suu is presently under house arrest. The military has imposed a one-year State of Emergency, formed a State Administration Council and apparently appointed new Cabinet members. There have been large scale protests against the military and these protests have taken place across Myanmar. There are media reports that some protestors have been injured and, sadly, one succumbed to her injuries. There were also reports of armed vehicle movements and the deployment of troops in several cities, including clashes between security forces and demonstrators as well as the arrests of civil servants and students. Internet services have been cut several times, making access to information difficult. In fact, I think, right now, Internet access is disrupted. These are alarming developments.

We urge the authorities to exercise utmost restraint to avoid further injuries and loss of lives and we hope they will take urgent steps to de-escalate the situation. There should be no violence against unarmed civilians and we hope that there will be peaceful resolution and national reconciliation in Myanmar. In this respect, I also hope that President Win Myint, State Counsellor Daw Aung San Suu Kyi and the other detainees will be released so that they can engage in discussions and negotiations in good faith. The stakeholders in Myanmar must find a long-term peaceful political solution, including a return to its path of democratic transition. If the situation continues to escalate, there will be serious consequences for Myanmar and, indeed, for our region.

Amidst these escalating tensions, our Embassy in Yangon has maintained regular contact with Singaporeans in Myanmar, particularly those who are e-registered with our Embassy. We have advised Singaporeans in Myanmar to avoid public gatherings and demonstrations, to abide by all local laws and regulations and to monitor the news closely. There are currently about 500 Singaporeans who have registered with MFA and we urge other Singaporeans who may not yet have registered with us to do so quickly. Given the initial news of airport closures, suspension of flights and the disruption of mobile and Internet services, several Singaporeans have been in contact with our Embassy, including some who were considering returning to Singapore. Yangon International Airport reopened on 4 February and the regular weekly relief flights between Yangon and Singapore have been able to operate as scheduled. So far, only 17 Singaporeans have chosen to return home on the flights on 5 and 12 February. The situation in Myanmar remains volatile. The suspension of telecommunications connectivity at this time is deeply concerning, especially when access to information is critical. Singaporeans in Myanmar who require consular assistance may have some difficulty reaching us. We thus hope that there would be no further disruptions to mobile and Internet connectivity. MFA will continue to maintain close contact with the Singaporean community in Myanmar and we stand ready to render appropriate consular assistance to any Singaporeans in distress.

Mr Speaker, our bilateral relations with Myanmar are longstanding, and Myanmar is a key member of ASEAN. Singapore has always upheld the principle that the future of Myanmar has to be determined by her own people. We have supported Myanmar’s difficult democratic transition thus far. We are gravely concerned about the latest developments in Myanmar. Myanmar was already facing serious socio-economic challenges, made worse by the onset of COVID-19 last year and the continued armed ethnic insurgencies and, of course, Members are familiar with the situation of the refugees from Rakhine state. All these uncertainties, including from the latest developments, not only damage the prospects for Myanmar but also damage the broader stability of our region.

ASEAN has a longstanding policy of non-interference in the internal affairs of our member states. Nevertheless, a Statement was issued quickly by the ASEAN Chair to reflect the seriousness with which ASEAN views the developments in Myanmar. The Statement emphasised and reaffirmed the importance of the principles enshrined in the ASEAN Charter, including adherence to the principles of democracy, the rule of law and good governance, respect for and protection of human rights and fundamental freedoms. It also called for dialogue, reconciliation and the return to normalcy in accordance with the will of the people of Myanmar.

All ASEAN member states are expected to uphold the principles enshrined in the ASEAN Charter and the ASEAN Human Rights Declaration. But ASEAN also operates by the principles of consensus and non-interference in the internal affairs of ASEAN member states. These are enshrined in the ASEAN Charter. Nevertheless, I believe ASEAN can play a discreet constructive role in facilitating a return to normalcy and stability in Myanmar.

ASEAN’s external partners, particularly the major powers, have an important role to play as well. Their perspectives are clear – you would have read the various statements that have been issued in the last two weeks. Engagement, rather than isolation, will go further in ameliorating this crisis. ASEAN will work closely with all its external partners, including the United Nations, the US, China, India, Japan, and the EU, to foster an inclusive dialogue with all key stakeholders and we encourage Myanmar to return to its path of democratic transition.

Unfortunately, the recent political developments in Myanmar will inevitably further complicate the situation in Rakhine State and of the refugees from that state. Therefore, it will also inevitably delay the efforts to commence the repatriation of displaced persons, considering that we are also dealing with the COVID-19 pandemic which is affecting Myanmar. So, it will take time to reach a long-term political solution in Myanmar as well as in Rakhine State, in particular. But we do hope that all parties would give due consideration to the urgent humanitarian needs of the displaced persons, both in terms of immediate assistance and the need to improve ground conditions in the refugee camps. ASEAN will continue the on-going implementation of the Preliminary Needs Assessment's recommendations to improve the plight of these refugees.

Mr Christopher de Souza.

I thank the Minister for Foreign Affairs for his comprehensive reply. There are many moving parts for Myanmar – the ASEAN Human Rights Declaration, the ASEAN Charter, a potential collective position of ASEAN on the recent developments and how the military coup will impact the goal of the repatriation of Rohingya refugees to Myanmar. I want to ask the Minister what are his and MFA's view on the more strategic aspects of the unfolding developments, especially on the goal of a democratic transition in Myanmar. I appreciate there are many moving parts, but what are the strategic aspects and the Minister's predictions, if one can call it that, in light of the military coup ensuing in Myanmar presently?

Mr Speaker, I really do not think I can make predictions. But the Member has raised several fundamental strategic questions and, with your permission, Mr Speaker, let me take a step back and go back to first principles.

Our starting point has to be that every country's politics and destiny should be determined by its own people. Just as in Singapore, we will not tolerate foreign interference in our politics. Similarly, we do not seek to interfere in others' domestic affairs. This is a principle we hold fast to and, in fact, this is a foundational principle of ASEAN.

The next point I want to make is because many people do not appreciate the many moving parts that the Member has just described. Let me give you a few facts. Myanmar is the 40th largest country in the world by size, twice the land area of Vietnam. It is resource-rich, mineral-rich. It has a mostly young, intelligent, hard-working, disciplined population of 55 million. Many of us here have colleagues or friends from Myanmar and you will know that these descriptions I have used are accurate. Their median age is 29. Fifty-five percent of their people are below the age of 30. If you look at the map, you will also realise that Myanmar occupies a very unique and critical geo-strategic position at the crossroads of India, China, Indochina and, in fact, has also a portal into Southeast Asia as a whole. Both India and China have had a long history of engagement with Myanmar, over millennia.

And 200 years ago, the British Raj battled with the last Burmese dynasty for control of the region around the Bay of Bengal. In fact, the Rakhine state was one of the first areas to fall to the British and the Burmese were forced to cede that area to the British Raj. This was after the First Anglo-Burmese War.

During World War II, Myanmar was a major theatre of operations because of its strategic location. China today shares a border with Myanmar that is more than 2,000 kilometres in length. Its trade with Myanmar last year was US$10.2 billion, making China, Myanmar's largest trading partner – larger, in fact, than even its trade with the rest of ASEAN.

In short, due to its geography, Myanmar is no stranger to strategic rivalries, nor is it unfamiliar with the contest for influence from its larger neighbours. And it has long sought to pursue a realist paradigm and an independent foreign policy. And for that reason, I believe, Myanmar chose to become part of ASEAN.

It is also worth reminding everyone here that Myanmar is a union, one that, since independence – and mind you, at independence, they were far ahead of Singapore – since their independence, they have struggled to forge a national identity that reflects its ethnic diversity.

Racial and religious divisions run deep in the country with eight major national ethnic races and 135 ethnic groups. It has manifested in multiple long-running armed ethnic conflicts. And the refugee situation in Rakhine State – which remains unresolved to this day – is in fact a complex inter-communal issue with deep historical roots, going back in time. Given the risk of balkanisation, given that milieu, you would understand why Myanmar's national reconciliation and peace process is so essential and yet so fragile; and any prolonged instability in Myanmar will also affect Southeast Asia.

Actually, Myanmar has come a long way in the last decade. And you may be aware that Singaporean companies have looked towards Myanmar for economic opportunities, new market access and to diversify our growth. In fact, Members may be aware that, we, Singapore, is the largest foreign investor in Myanmar and we have cumulative approved investments at US$24 billion, as of December 2020.

But I think what is interesting is that, of that figure I have cited, the major proportion of our investments in Myanmar, have in fact occurred in the last five years under the NLD government.

In fact, this period, the last five years, saw a tenfold increase in Singapore's direct investments in Myanmar compared to the preceding five-year period before that. And I want to stress that companies made these investment decisions on commercial grounds. They did not do so because of political influence or political suggestion on our part. But I believe that the commercial companies saw promising opportunities in a Myanmar that was undergoing democratic transition.

I say all these, in order to head off suggestions that we should now interfere on political grounds with commercial decisions. But in the same way, I am sure companies making commercial decisions and investment decisions will also pay attention to the political context of the venue in which they are seeking to invest in. And therefore, what has just happened is a major setback for its economy and for its ability to attract foreign investments.

The current volatile operating environment, including a report that a foreign national had been arrested, will certainly affect the investment outlook and undermine business confidence. Our own businessmen are aware of these downside risks, and I have no doubt that Singaporean businesses are also re-evaluating their risk profile and their exposure to this market.

I have had conversations with several counterparts – the US, Germany and others. And I have urged against widespread sanctions. Let me explain why. The World Bank estimates that around a quarter of the population in Myanmar lives below the poverty line. And in fact, this has been worsened by the COVID-19 pandemic.

And so, in all my discussions and phone calls, I have said that we should not embark on widespread, generalised and indiscriminate sanctions because the people who will suffer most will be the ordinary people in Myanmar. In some, it is in recognition of this complex collage – historical, geo-strategic, economic, demographic factors – that we hope fervently for national reconciliation in Myanmar.

The only way this can happen is if all parties in good faith, sit down, talk, negotiate and achieve reconciliation. And it is in that context that I express my hope that President Win Myint and State Counsellor Aung San Suu Kyi would be released from detention so that they can sit down at the negotiating table and talk.

One final point: I think Members would be aware that on 5 February, the Singapore Police Force felt compelled to warn against holding protests in relation to the recent developments in Myanmar. I am referring to protests within Singapore. I want to remind everyone, including foreigners who are visiting, working or residing in Singapore, that they should not import domestic political issues from other countries into Singapore. This is inimical to our own national interests, and of course, we will deal with this firmly in accordance to the law.

Mr Gerald Giam.

I thank the Minister for his very comprehensive reply. Regional instability precipitated by events, like in Myanmar, can impinge on Singapore's interests. I understand that there is a special meeting of Foreign Ministers of Southeast Asian nations being called to discuss the situation in Myanmar. Will Singapore be represented at this meeting and what are the key objectives that Singapore would like to see achieved at this meeting?

Secondly, given that Singapore is one of the largest, in fact, the largest foreign investor in Myanmar, does the Singapore Government or Singapore companies, including Temasek-linked companies, have any joint ventures with the Myanmar military and its network of companies? If so, given the high possibility that the US and other western nations may slap further sanctions on the Myanmar military and its companies, is the Government providing the necessary advice and assistance to companies, which may get caught up in this, so that they can reduce their exposure?

Mr Speaker, so far, there has not yet been a formal meeting convened of the ASEAN Foreign Ministers. You would realise that the difficulty there is we need consensus before the meeting can even take place. Having said that, however, I can assure you that there has been an intense flurry of communications, bilateral and group, amongst the Foreign Ministers in ASEAN.

What is the key objective? Our key objective is to achieve peace, reconciliation, and as I said, to help Myanmar get back on the road of democratic transition.

The main thing is not to make things worse, and not to be inflammatory. Second, keep lines of communication open and to keep engagement going.

That is why also in that respect, this question of economic sanctions, I think I have explained in my answer just now that we are not in favour of generalised sanctions, which will hurt the ordinary citizens of Myanmar.

I have also answered earlier on our advice to businesses that you have to take into account political risk, and social and political dynamics before making investment decisions. I am sure all our companies are currently re-evaluating their position.

But again, I want to emphasise that it is crucial for us in both good times and bad times to maintain this separation between politics and business, and let businesses make commercial decisions and investment decisions on their own merits. And I think this is a good time for us to maintain that discipline. So, no, I will not give specific advice to companies, but I will make, to the maximum extent possible, all information available in this House and beyond, so that people can make their own commercial and investment decisions.

The following question stood in the name of Ms He Ting Ru –

11 To ask the Minister for Trade and Industry (a) what principles are adopted in assessing approval for an in-person global conference such as the World Economic Forum’s Special Annual Meeting 2021 amidst the pandemic; (b) what are the anticipated cost and revenues from the WEF Special Annual Meeting; and (c) what other factors are considered when deciding whether to hold these events here.

Question No 11, please.

Mr Speaker, Sir, the Singapore Tourism Board launched the Safe Business Events framework in last year in July, which allows the resumption of in-person business events. Under the framework, event organisers must comply with strict public health requirements, including pre-departure and on-arrival testing, a rigorous testing regime, the mandatory wearing of masks, as well as all relevant safe management measures at the event. The Safe Business Events framework has been applied to over 29 business events since its launch, including the Singapore International Energy Week in October last year and TravelRevive in November last year.

Sir, the World Economic Forum's Special Annual Meeting in Singapore must also similarly comply with the requirements of the Safe Business Events framework. The Government is also studying what additional measures should be put in place to enhance the safety of the event, including measures to ensure safe interactions between the local community and event attendees.

As we are still working out the details and the logistical arrangements of the event, we are unable to share the costs and revenues at this point.

So, why are we doing this? After careful considerations, and in light of the current COVID-19 situation, the Forum had approached Singapore to discuss the possibility of holding its special annual meeting in Singapore and the Forum ultimately made the decision that Singapore was the best place to host the meeting.

We are confident that this meeting will have: one, a positive impact on Singapore's economy and international standing; two, it will have a direct benefit on the companies supporting the event, including local companies; three, it will send a strong signal of confidence in Singapore's ability to host major international events in a safe and innovative way. Hosting this Special Annual Meeting will also give Singapore an opportunity to contribute meaningfully to its programme and discussions.

We welcome this opportunity and will work with the Forum to strengthen the Meeting's focus on Asia, because of Asia's growing economic weight and strategic importance to the global economy.

I would like to assure the House that we will continue to monitor the COVID-19 situation in Singapore and around the world, and put in place the necessary contingency measures to ensure the safe conduct of the event.

I thank the Minister of State for his response. I have just one follow-up question. I am wondering what considerations were taken to have the event as an in-person event, rather than a purely digital one, given that many businesses and organisations, including a number of inter-parliamentary assemblies, have actually gone digital as a result of the pandemic.

I thank the Member for his question. I will just give some context also. First of all, the Forum had ultimately made the decision that Singapore is best placed to host the meeting. On 7 December, MTI and WEF concurrently issued press releases respectively to announce Singapore would host the event in May. On 3 February, WEF proposed to postpone it to 17 to 20 August.

There are a few things. The first is that we are slowly opening up our events in hybrid manner. So, if you look at what we have done over the course of the year – about 29 different events including the Singapore International Energy Week, TravelRevive, SFF and SWITCH – we have now started to build muscles to ensure that we can safely and innovatively conduct events that are in hybrid format, and to ensure safe in-person meeting with all the relevant prevailing safe management measures in place.

We will continue to monitor the situation globally and ensure that, over the course of the next couple of months as we continue to have other events, we will look at different measures to further enhance and protect event attendees as well as our local community in the conduct of these events.

The following question stood in the name of Ms He Ting Ru –

12 To ask the Minister for Health in order to prevent the World Economic Forum’s Special Annual Meeting in Singapore from becoming a super spreader event (a) whether attendees will be subject to Stay-Home Notices and quarantine rules; (b) what other concrete safety measures will be imposed to minimise COVID-19 spread; and (c) whether all attendees will be required to use TraceTogether technology in order to be allowed into Singapore to attend the event.

Question No 12.

Mr Speaker, MOH is working with various Government agencies and the World Economic Forum to put in place the necessary public health and safe management measures to ensure that the WEF Special Annual Meeting in Singapore can be conducted safely.

To actively detect any cases of COVID-19, we will implement rigorous testing arrangements for local and foreign event attendees, in lieu of them serving Stay-Home Notices. We will also implement safe management measures such as mask-wearing, safe distancing and mandating the use of TraceTogether technology to minimise the risk of transmission and to facilitate the identification of close contacts for isolation.

In addition, a physical segregation of event attendees from the local community will reduce the risk of infections spreading from event attendees to the local community at large, and vice versa.

Over the next few months leading up to the Special Annual Meeting, MOH will continue to assess the COVID-19 situation locally and globally, and adjust the public health measures for the event as necessary. We will work with the Forum to clearly communicate these measures to attendees so that the event can proceed safely.

Assoc Prof Jamus Lim.

I thank the Senior Minister of State for his response. I am just wondering if I could have two supplementary questions. If, in spite of our best efforts, the event turns out to be a super spreader event, I am wondering if there is a contingency plan. And given this contingency plan, how the public and providers would be prepped to deal with the events as they unfold.

I thank the Member for the question. If there is indeed a case of COVID-19 at the WEF Special Annual Meeting, the prevailing measures that we have for a COVID-19 case at any of the events that we are organising, will be in place. All the various measures as well as the regulations around contact tracing, isolation and subsequent follow-up will be followed. The protocols are being put in place and are being operationalised already, because we are already hosting and organising events. This will be at a larger scale and it will involve a wider group of delegates and attendees but the fundamentals of our approach will be the same.

13 Mr Gan Thiam Poh asked the Minister for Health (a) since April 2020, what has been the percentage of confirmed COVID-19 cases for each country in relation to total arrivals from those countries; and (b) whether the Ministry will require all foreigners arriving into Singapore to procure travel insurance, including hospitalisation insurance for coverage of COVID-19.

Mr Speaker, less than 1% of our total arrivals since 1 April 2020 tested positive for COVID-19. Most of the arrivals during this period were from Malaysia, Mainland China, Indonesia and India. The proportion of imported cases out of the arrivals from each of these countries and regions was 0.04%, 0.01%, 1.6% and 3.7% respectively.

From 1 January 2021 onwards, all Work Permit and S Pass holders are required to have medical insurance to pay for COVID-19 medical treatment and hospitalisation costs in Singapore, should the pass holder develop symptoms or test positive within the first 14 days of arrival into Singapore. As employers of Work Permit and S Pass holders are responsible for their medical treatment in Singapore, this requirement helps protect employers against medical expenses.

From 1 February 2021 onwards, all short-term visitors applying to enter Singapore under the Air Travel Pass and Reciprocal Green Lanes have to purchase travel insurance for their COVID-19-related medical treatment and hospitalisation costs in Singapore. The travel insurance will help them pay for their costs of medical treatment in Singapore. The visitors can purchase the travel insurance from Singapore-based or overseas insurers.

The Government will review whether to extend the insurance requirement to other travellers, taking into consideration the COVID-19 situations in their country of origin, as well as the availability of products in the insurance market.

14 Mr Leong Mun Wai asked the Minister for Health what is the reason for not closing our borders to travellers from India and Indonesia given the disproportionately large number of imported cases coming from these two countries.

Sir, international connectivity is critical to our economy and survival. Singapore can ill afford to close ourselves off fully from the rest of the world.

We need a continued inflow of migrant workers to support our key economic sectors, including construction workers to build our homes and critical infrastructure and foreign domestic workers (FDWs) to support the care-giving needs of our families. Many of such workers are from India and Indonesia. If we close our borders to them, many Singaporeans will not be getting the keys to their homes, many households will have their FDWs delayed and will need to find alternative care arrangements for their loved ones. Our economy will also slow down and the lives and livelihoods of many will be impacted. Some of the travellers are our citizens, permanent residents or their close relatives here to visit them. Therefore, we need to adopt a risk management approach to the inflow of these travellers, rather than to close the borders to them entirely.

These migrant workers and visitors are subject to a set of stringent precautionary measures to keep the risk of COVID-19 transmission to our community as low as possible. These include pre-departure tests before they leave their country, on-arrival tests when they arrive in Singapore, and a 14-day Stay-Home Notice (SHN) at dedicated facilities, with another test before they complete their SHN and are allowed to leave the facility. As an additional precaution, all newly arrived Work Permit and S Pass workers in the Construction, Marine and Process (CMP) sectors are subject to an additional seven-day isolation and testing regime at a designated facility following their 14-day SHN. Together, these measures help reduce the risk of transmission from newly arrived migrant workers into our community.

As an additional line of defence, to detect infections in the dormitories and high-risk workplaces early, workers in these settings such as those in the Aviation, Maritime and CMP sectors, are also required to undergo Rostered Routine Testing or RRT at least every 14 days.

As the global situation evolves, the Multi-Ministry Task Force will continue to review our border control measures to strike a balance between public health considerations and the needs of our society and economy.

15 Mr Gan Thiam Poh asked the Minister for Home Affairs (a) since April 2020, how many Singaporeans and Permanent Residents have appealed for their foreigner relatives or dependants to enter Singapore; and (b) how many have appealed for a waiver of the Stay-Home Notice Dedicated Facility accommodation cost for their relatives or dependants.

Mr Speaker, to manage the risk of importation of COVID-19 into Singapore, all foreign visitors, including family members of Singapore Citizens (SCs) and Permanent Residents (PRs), are required to seek prior approval before entering Singapore. From 1 April 2020 to 31 January 2021, the Immigration and Checkpoints Authority (ICA) processed about 18,600 applications for entry of foreign family members of SCs and PRs. Ninety-seven percent of these applications were approved. The remaining 3% were rejected, mainly because the applicant was unable to provide proof of SC or PR nexus.

Foreign visitors entering Singapore are required to pay for the costs of their COVID-19 swab test and stay at dedicated Stay-Home Notice (SHN) facilities, if required. All appeals for waiver of costs are assessed on a case-by-case basis. From 1 April 2020 to 31 January 2021, ICA processed 371 appeals for waiver of costs for SHN stays or COVID-19 swab tests for family members of SCs and PRs. About 60% of these appeals were successful, while the remaining were either withdrawn or were unsuccessful.

16 Mr Gan Thiam Poh asked the Minister for Manpower (a) since April 2020, how many Singaporeans and permanent residents who have applied for their foreign domestic workers (FDWs) to enter Singapore and are not successful, have appealed for their entry; and (b) how many Singaporeans and permanent residents have appealed for a wavier of the Stay-Home Notice Dedicated Facility accommodation cost for their FDWs.

Mr Speaker, the population of Foreign Domestic Workers (FDWs) in Singapore has remained largely stable at 250,000. From April 2020 to January 2021, MOM approved around 25,000 requests for Foreign Domestic Workers to enter Singapore. The Foreign Domestic Workers took on work with new employers or replaced Foreign Domestic Workers who had left employment and returned home. About 600 Singaporeans and Permanent Residents whose initial applications were not successful submitted appeals, and about 500 succeeded eventually to bring their Foreign Domestic Workers to Singapore.

Appeals by Singaporeans and Permanent Residents for waiver of the Stay-Home Notice Dedicated Facility cost for their Foreign Domestic Workers are carefully reviewed. Taking into consideration household income and financial circumstances of the appellants, about 3,200 appeals were acceded to, constituting 13% of all entry approvals.

17 Dr Tan Wu Meng asked the Prime Minister (a) over the past three years, how many reports have been made annually by consumers regarding unauthorised online bank transactions; (b) in what proportion of cases is there two-factor authentication (2FA) by token and SMS one-time password respectively; and (c) what is the recourse for consumers who suspect that they are victims of cybercrime or mobile device hacking leading to the unauthorised bank transactions.

In 2020, the Police received 1,848 reports of unauthorised online banking and card transactions involving criminals phishing for banking and card details from the victims before performing these unauthorised transactions. The cases are, unfortunately, on an upward trend. In 2018 and 2019, there were 114 and 329 cases respectively. I think this really reflects the advent and the growing number of electronic transactions that we are seeing.

The Monetary Authority of Singapore (MAS) requires banks to implement controls, such as multi-factor authentication using one-time passwords or OTPs, to keep online transactions secure. Unfortunately, multi-factor authentication cannot eliminate all scams. Many victims have been tricked into revealing their user IDs, passwords, OTPs or credit card details to scammers.

Recently, some account holders have reported successful online card transactions when no SMS OTPs were received, or when no SMS OTPs were revealed to others. The Police and banks are following up on these cases and investigations are on-going. As a precaution, the banks have put in place additional measures, such as rejecting card payments made to some commonly disputed merchants, or placing limits on the transaction amounts that customers can transact with such merchants.

So, if you suspect that you have been a victim of fraud or cybercrime, the first step is to make a police report and contact your bank immediately so that investigations can take place promptly. If an unauthorised transaction was due to the bank’s lapses or non-compliance with MAS’ rules, the customer will not bear any financial loss provided that he has practiced proper cyber hygiene and had not been negligent.

Customers play an important part in preventing scams, because guarding against online threats starts with practising good cyber hygiene. This includes keeping passwords secret and promptly updating the security patches and anti-virus software on computers and mobile devices. It is very important that consumers treat their online banking login information, including OTPs, as they would their ATM PINs.

We cannot emphasise this enough to the public. Never reveal your login information, including OTPs, to others. Employees of financial institutions will not ask for such information. So, if you are asked for it by a third party, do not provide it.

Consumers should also heed the security email advisories, notices and alerts disseminated by their banks, MAS, the Singapore Police Force and the National Crime Prevention Council, and share them with family and friends.

18 Mr Zhulkarnain Abdul Rahim asked the Minister for Health what are the financial support schemes available to working care-givers of cancer patients in terms of higher MediSave withdrawal limits, subsidies or tax reliefs.

Sir, the Government provides a range of financial support measures to help patients and their care-givers defray the cost of caring for cancer patients.

We have financial support schemes to help keep cancer treatment expenses more affordable for patients and their care-givers. This includes means-tested subsidies of up to 70% at public Specialist Outpatient Clinics and up to 75% for subsidised medications. Eligible Singaporeans can also receive means-tested subsidies of up to 80% for long-term care services such as centre-based rehabilitation for cancer patients.

Cancer patients can also tap on MediShield Life and MediSave to pay for both inpatient and outpatient cancer treatments. For patients who are diagnosed with terminal cancer and receiving end-of-life care, MediSave may be used to pay for home palliative care or day hospice care, and there is no withdrawal limit if the bill is paid using the patient’s own MediSave. In addition, patients with financial needs can apply for MediFund assistance, which helps to provide a safety net for those who are still unable to afford the bills.

To allow families to stretch their combined savings to cover healthcare expenses, care-givers can also use their MediSave to pay for medical expenses incurred by their approved dependants.

The Home Caregiving Grant (HCG) was introduced in October 2019 to provide a $200 monthly cash grant to eligible individuals, including cancer patients, with permanent moderate disability to defray the costs of long-term care-giving. It can be used flexibly for care-giving expenses, for example, to hire a foreign domestic worker, for the use of eldercare services, or for transport to medical appointments. Another grant – the Caregiver Training Grant – allows care-givers, including working care-givers, to attend approved courses to better care for their loved ones.

Beyond healthcare-specific financial measures, care-givers can also qualify for tax reliefs if they meet the conditions under dependant related relief schemes. Families who need further help with care-giving expenses can approach the Agency for Integrated Care (AIC) or Medical Social Workers within healthcare institutions for assistance. We will continue to review and develop initiatives to strengthen support for care-givers.

Mr Zhulkarnain Rahim.

I thank the Senior Minister of State for the response and the comprehensive details on the grants and benefits available. I just wanted to explain the premise of my question. There was a 2016 survey in Singapore about general family care-givers, that showed that half of those care-givers were in the economically-active group; they are below 50 years old. And one in five of those care-givers had to give up their jobs to care for the aged relatives; and one in four reported a worsening of their financial position because of that.

These are the negative eventualities of embarking on this care-giving journey. I understand that there is no limit for withdrawal from the patients' own MediSave, but would the Ministry also look into increasing the withdrawal limits for care-givers or perhaps also removing any limits for those care-givers for CPF withdrawals for the purposes of assisting in paying for the relative's medical expenses?

Sir, I thank the Member for his supplementary question. I think his starting point is that families want to be the first line of support and do their part to care more for the financial needs of those in the family who are suffering from cancer. I think that is quite admirable. But in trying to make sure there is a certain withdrawal limit for the use of the care-giver's MediSave funds to support the needs of a family member who is afflicted with cancer, we need to strike the balance between preserving enough MediSave funds for the care-giver as well, for his or her own longer term healthcare needs, while at the same time, trying to make sure that there is enough family support to care for the one who is suffering from cancer.

I think what is important is that if the needs go beyond the current withdrawal limits, the family can approach the Medical Social Worker who will take a look on a case-by-case basis and see how we can mobilise MediFund, which would then remove the need to touch the MediSave of the care-giver, but yet, let the rest of the taxpayers also do their part to support the needs of this person who is suffering from cancer and who may have extra financial requirements.

19 Mr Mohd Fahmi Aliman asked the Minister for Health (a) what is the number of people who have committed suicide or attempted suicide last year; (b) how many are aged 60 and above; (c) how many of such seniors are living alone; (d) how many of such seniors are diagnosed with depression prior to suicide or attempted suicide; and (e) what are the resources and programmes put in place during the pandemic to address the likely causes of such suicides and prevent the suicide rates from increasing.

20 Mr Mohd Fahmi Aliman asked the Minister for Health in light of the Ministry's reply of 6 January 2020 on multi-pronged interventions to support seniors (a) how effective have these initiatives been in reducing elderly suicide; and (b) how is the Ministry working towards improving existing initiatives to cushion the effects of the COVID-19 pandemic on our socially isolated elderly.

21 Mr Mohd Fahmi Aliman asked the Minister for Health (a) in light of a 2016 report on how 47,000 seniors aged 65 and above live by themselves, whether that figure has changed and, if so, by how much; and (b) in light of survey results showing lower social satisfaction levels for senior citizens during the circuit breaker period, whether the Ministry plans to enhance existing support mechanisms for the isolated elderly in the next two to three years.

Mr Speaker, may I have your permission to take Question Nos 19, 20 and 21 together, please?

Please do.

Sir, there were 400 reported cases of suicide in 2019, of which 122 cases involved persons 60 years and above. The number of attempted suicide cases was about 1,000 in 2019. We do not have the breakdown of number of suicides or attempted suicides by those who live alone or have depression. We also do not have the breakdown of attempted suicides by age.

The number of Singapore residents aged 65 years and above who live alone has increased from 47,000 in 2016 to 67,600 in 2019, representing 9.7% and 11.6% of our resident population aged 65 years and above respectively.

The causes of suicide are complex and multi-faceted, often involving family, social and mental health issues. Therefore, the Government works closely with MSF and community partners on multi-pronged approaches, comprising promoting mental health and well-being, raising awareness on suicide prevention, and providing professional support and crisis interventions to at-risk groups, including targeted support for older adults.

First, in upstream intervention, we seek to build public awareness on the importance of good mental well-being. For example, the Health Promotion Board (HPB) conducts training sessions on mental well-being and change management for the general population, to help them recognise the signs and symptoms of poor mental health. Under the Seniors’ Health Curriculum programme, HPB also conducts a series of healthy ageing workshops, which include psychosocial education modules, to equip seniors with knowledge and skills to self-care and manage mental well-being, including when and where to seek help if necessary.

Second, we have services and programmes to provide support to older adults with social and emotional needs. For example, staff and volunteers from the Silver Generation Office (SGO), local grassroots organisations, social service agencies and senior activity centres proactively and regularly reach out to seniors living alone or who are at risk of social isolation, to provide companionship and encourage them to participate in social activities. From May 2021, we will be rolling out a new eldercare centre service model. Under this new model, eldercare centres will serve as key touchpoints to all seniors, regardless of their housing type, income or frailty levels, and will reach out to seniors to proactively engage them. Seniors can also sign up with CareLine, which is a 24/7 social support hotline that provides tele-befriending services as well as emergency response to seniors in distress.

Third, we also have targeted support for seniors who may be at higher risk of suicide and their family. Under the Community Resource, Engagement and Support Teams (CREST) programme, Community Outreach Teams reach out to at-risk elderly and their care-givers to provide basic social-emotional support and education on coping with mental health needs, and link them and their care-givers to community resources for further support. Family Service Centres also provide case management and counselling support to low-income and vulnerable individuals and families, including seniors, to help them with issues such as family, financial and emotional difficulties.

Fourthly and lastly, there are services in place to support crisis intervention. For instance, the Samaritans of Singapore (SOS) operates a 24-hour hotline to counsel persons in distress. Similarly, the Institute of Mental Health (IMH) operates a 24-hour Mental Health Helpline to assess and triage cases, and activate home visit teams if necessary. For cases of attempted suicide, the Police may engage the next-of-kin to link them up with support services or refer the individual to IMH for assessment and treatment.

Sir, these services continued to operate throughout the pandemic, including during the circuit breaker period, to ensure that seniors at risk of social isolation remain supported. Befriending engagements were conducted remotely where feasible in place of physical home visits. SGO also engaged about 21,000 seniors who have little or no social support during the circuit breaker period through weekly or fortnightly calls to monitor their well-being. Community mental health services also remained accessible with safe management measures in place for persons, including seniors, with mental health needs. The Government also set up the National CARE Hotline to offer an additional avenue of emotional and psychological support to public who are facing distress due to the pandemic.

I wish to just record my thanks to the officers and volunteers of all of these services, whether formal agency-driven services or those from voluntary organisations, who reached out to all these persons in need during the difficult times through the circuit breaker and the subsequent pandemic.

We will continue to improve our inter-agency and multi-pronged efforts to support seniors in the community, especially those at-risk of suicide.

Order. I propose to take a break now. We will have slightly more generous 30-minute break. But it is no bearing on how generous the Budget will be at 3.00 pm. I suspend the Sitting and will take the Chair at 3.00 pm. Order, order.

[Pursuant to Standing Order No 22(3), Written Answers to Question Nos 22-23, 28-31, 34-35, 39-42 and 47-59 on the Order Paper are reproduced in the Appendix. Question Nos 24-27, 32-33, 36-38 and 43-46 have been postponed to the next available sitting.]

Sitting accordingly suspended

at 2.28 pm until 3.00 pm.

Sitting resumed at 3.00 pm.

[Mr Speaker in the Chair]

Mr Speaker, Sir, I beg to move, "That Parliament approves the financial policy of the Government for the financial year 1 April 2021 to 31 March 2022."

Last year, I addressed Parliament nine times. I had four Budgets, two Ministerial Statements and the Budget Round-ups. This year, my new year wish is to have one Budget. Members will bear with me that this Budget speech will be very long and I hope that you stay alert over the next two to three hours.

We have spent a year fighting the COVID-19 pandemic.

Last year, in addition to our usual spending, the Government committed nearly $100 billion through five Budgets to support Singaporeans, help tide businesses over this difficult period, and most importantly, keep everyone safe.

We faced the worst recession since independence. The pandemic-triggered recession has hit both demand and supply side simultaneously. Singapore’s GDP contracted by 5.4% in 2020. The overall Budget deficit for Financial Year 2020 is also the largest since Singapore’s independence, at $64.9 billion, or 13.9% of GDP.

We averted the worst, and prevented deep economic scarring and permanent impairment of our economic strengths.

Last week, the Ministry of Finance released an interim assessment of the COVID-19 Budget measures. Our early findings show that the combination of fiscal, monetary, and transitional measures, mounted as a whole-of-Government response, has helped to avoid a worse recession, avert job losses, and mitigate inequality.

Without the fiscal and monetary policy measures, Singapore’s GDP would have shrunk by at least 12.4%, more than double the contraction we experienced.

These measures are also estimated to save or create 155,000 jobs on average over 2020 and 2021, preventing the resident unemployment rate from rising a further two percentage points in 2020.

Lower-income households received higher levels of support from some of the COVID-19 measures, such as the Workfare Special Payment and Grocery Vouchers.

While fiscal measures did most of the heavy lifting, the measures taken by the Monetary Authority of Singapore, to maintain an accommodative monetary policy stance, ease cash flow constraints and ensure sufficient liquidity in the banking system, complemented the fiscal measures well.

The Ministry of Law’s COVID-19 (Temporary Measures) Act 2020 also offered temporary relief to individuals and businesses for rental and various other contractual obligations.

On the public health front, community cases have remained low and we have been on a path of gradual re-opening since June last year.

We were able to mount a whole-of-Government response to COVID-19 decisively, without incurring a huge debt for future generations, because successive generations have built up strong reserves ahead of this crisis. I thank the President for her support for the use of Past Reserves to fund our response to COVID-19 so far.

As we re-opened our economy, we shifted our measures from containment to restructuring, while continuing our support for Singaporeans, workers and businesses.

We transitioned our broad-based support to more targeted ones for firms, especially those in the hardest-hit sectors.

We introduced measures to preserve core capabilities.

We shifted our focus from job retention to job creation, and helped workers secure jobs in growth sectors.

We set up the Emerging Stronger Taskforce amid the crisis to respond to the new realities.

The global battle against COVID-19 is far from over. Many places are still experiencing high levels of infection.

The recovery in global economic activity is expected to be long-drawn, highly uncertain, and uneven across sectors and geographies.

The arrival of vaccines gives us hope that economies and borders can re-open more quickly. But it is no silver bullet.

Vaccinating a large proportion of the population will take some time.

The emergence of more infectious variants may raise the threshold for herd immunity and disrupt the resumption of economic activities. If a new strain that is resistant to existing vaccines emerges, a new round of vaccination will be needed, further delaying economic recovery.

This uncertainty is accentuated by several structural trends and challenges, including some brought to the fore by the pandemic. I will mention two.

First, the rising protectionism over supply chains, resources, data and technology. This has been accelerated by a heightened sense of vulnerability and distrust during the crisis.

Second, the unprecedented levels of public debt globally to finance the extraordinary fiscal responses during the pandemic. These add to concerns over long-term sustainability of debt and risks of inflation over time.

The trajectory of the pandemic will determine the immediate trajectory of the global economic recovery. As a small, open economy, Singapore’s economic recovery is contingent on how the global situation plays out.

Not everything is within our control. We need to adapt nimbly to the wide range of possible outcomes.

Since our independence, Singapore has weathered crisis after crisis, and emerged stronger. I am confident that we, as Singaporeans, can once again summon our resolve to tackle the challenges, and emerge stronger from this unprecedented crisis.

Let us seek to build a stronger Singapore:

That is economically vibrant, so we can create good jobs for our people and opportunities for our businesses;

That is socially cohesive, with a strong social compact and community spirit;

That is a welcoming home, green and sustainable for generations to come;

That has the fiscal and social reserves to enable continued stability and progress.

Budget 2021 deploys our fiscal resources and the energies of our people, to realise our collective aspirations and build our future together. I will now elaborate on our plans, with the details in the Annexes.

Let me first focus on our immediate tasks. The global economy is projected to recover to pre-COVID-19 levels this year, but the recovery is uneven across countries and sectors. The Singapore economy is projected to grow between 4% and 6%, with some sectors growing well, and others remaining under stress.

I will set aside $11 billion for a COVID-19 Resilience Package. This Package will have three prongs: first, to address our immediate needs to safeguard public health and re-open safely; second, to support workers and businesses where needed; third, to target support for sectors that are still under stress. [Please refer to Annex B-1.]

The first prong is to safeguard the health of Singaporeans.

Vaccinating our people is key. We started our vaccination programme late last year. As of 14 February this year, close to 250,000 people have received their first dose of the COVID-19 vaccine, of which about 55,000 have also received their second dose.

I strongly encourage Singaporeans and residents who are medically eligible to take the vaccine when your turn comes.

At the same time, we must continue to contain the spread of the virus, by keeping up our precautionary measures and our multi-layered defence system of contact tracing, testing and safe distancing.

Altogether, I will be dedicating $4.8 billion of the COVID-19 Resilience Package towards public health and safe re-opening measures.

The second prong of our Package is to continue support for workers and businesses where needed.

COVID-19 continues to affect many of our workers and businesses.

When COVID-19 first hit, I introduced the Jobs Support Scheme, or JSS, with a clear goal to protect jobs and help firms retain local workers.

As the situation deteriorated in the ensuing months, I enhanced the wage support level and its duration, and brought forward the disbursement timeline.

As the situation improved, I tapered support for sectors that were recovering well, and extended support to harder-hit sectors.

So far, we have committed over $25 billion to the JSS, and supported over 150,000 employers for up to 17 months. The current tranche will continue to cover wages up to March 2021 for most sectors.

I am heartened that many employers have managed to retain and reskill their workers.

Even as our economy recovers gradually and some sectors grow well, some other sectors remain stressed. I will tailor support to maintain resilience and support growing areas.

First, I will continue to provide JSS, targeted towards sectors that continue to be hard-hit.

For firms in Tier 1 sectors – aviation, aerospace and tourism, I will extend JSS by six months. Firms in these sectors will receive 30% support for wages paid from April to June 2021, and 10% support for wages paid from July to September 2021.

For firms in Tier 2 sectors, such as retail, arts and culture, food services and built environment, I will extend JSS at 10% for three months, covering wages paid up to June 2021. This excludes segments like supermarkets which are classified as Tier 3B.

For firms in Tier 3A sectors, JSS will continue covering wages up to March 2021, as previously announced. These sectors are generally recovering.

Nightlife establishments such as pubs, and karaoke outlets, are not yet permitted to re-open. They can apply for grants from the Ministry of Trade and Industry and Enterprise Singapore to pivot to other permissible activities or wind down.

Overall, the JSS extension will cost $700 million. [Please refer to Annex B-2.]

Second, to facilitate workers moving to jobs in growth areas, I will be extending specific schemes within the SGUnited Jobs and Skills Package, including the Jobs Growth Incentive and specific traineeship, attachment and training opportunities. I will elaborate on these later.

Last year, I extended the Temporary Bridging Loan Programme and the enhanced Enterprise Financing Scheme – Trade Loan till 30 September 2021, to ensure businesses have continued credit access. I also enhanced the Enterprise Financing Scheme to better support loans for local construction projects.

These programmes have helped many companies in the past year, with more than 20,000 taking up over $17 billion of working capital and trade loans.

I hope businesses will make full use of these schemes.

The COVID-19 Resilience Package also funds the COVID-19 Recovery Grant, which supports workers who lost their jobs or experienced significant income loss.

The Grant has been open for applications since 18 January 2021, and more than 5,000 applications have been approved as of 15 February 2021.

The third prong of the COVID-19 Resilience Package is to provide more targeted support for the worst-hit sectors, which continue to be adversely affected in 2021. They will need help to maintain capabilities and eventually recover.

First, for our aviation sector, the recovery in global air travel will take some time.

International borders remain largely closed today. As of end-January this year, total passenger movements in Changi were only about 2% of pre-COVID-19 levels.

To preserve core capabilities and Singapore’s strong position built up over the years, I will provide targeted support and extend cost relief for the aviation sector.

This will cost the Government $870 million this year.

I expect the aviation sector to use this lull to sustain and upgrade its capabilities, and to prepare for the recovery. I will elaborate on this later.

In our land transport sector, taxi and private hire car drivers have been hard hit by the pandemic, and will continue to need support in 2021.

They will be supported by the COVID-19 Driver Relief Fund, which we announced previously.

I have set aside $133 million for this Fund.

The arts and culture, and sports sectors, connect our communities and weave the fabric of our society. These sectors have been deeply affected by the pandemic.

I will extend the Arts and Culture Resilience Package and Sports Resilience Package in FY2021 to support businesses and self-employed persons in these sectors.

I will also enhance these packages to support capability development and sector transformation, to encourage the community to deepen skills, go digital and transform business models. We look forward to activities resuming, with greater vibrancy.

I will set aside $45 million for the extension and enhancements to these packages.

The Ministry of Culture, Community and Youth will announce more details on both packages.

I have covered the COVID-19 Resilience Package, which addresses our immediate needs – to safeguard public health, provide support for workers and businesses, and give more help to worst-hit sectors.

The past year’s Budgets and the COVID-19 Resilience Package are about preservation and adaptation – to safeguard lives, jobs, supply chains, and core economic capabilities.

From 2021, our focus will be on Emerging Stronger, Together.

Why is this important? The COVID-19 pandemic has triggered global shifts on the economic, social and political fronts, on a scale arguably greater than the 1929 Great Depression. It has set off new domains for competition and cooperation. It has also accelerated technological advances. To secure our future, we must build new capabilities in our people and businesses, and find new ways to work together effectively. Within and across industries, and beyond our shores.

While the post-COVID-19 global economic landscape is being reshaped and remains uncertain, we can discern the broad contours.

What are some of the key changes that can affect Singapore?

First, the speed of technological advances and re-configuration of global supply chains will reshape competitive advantages.

During the 2003 SARS outbreak, by the time vaccines were ready for clinical trials, the virus was already largely contained through public health measures. But the COVID-19 pandemic has been different. Governments, scientists and industry mobilised to work together at unprecedented speed. COVID-19 vaccines were developed in less than a year, and tests were implemented within weeks to months, in the US, China, Europe and Russia. This collaboration across industries and nations, has been a positive side of the pandemic.

But COVID-19 has also accentuated a US-China-centric technology race, into a global race for technological superiority and heightened concerns over supply chain resilience. For Singapore, as global supply chains are reconfigured, we must plug ourselves into critical parts of global networks. Businesses will need to transform and digitalise, to plug into the flow of goods and capital.

Second, COVID-19 has hit countries and communities unevenly and widened inequalities. The virus respects no borders. The global economy will remain stunted for as long as there are countries that have yet to suppress COVID-19. This is why Singapore is working with like-minded countries through the COVAX facility, to promote global access to the vaccine and help accelerate the resumption of safe travels.

Third, this tiny virus has reminded us of the intricate interdependencies of our ecosystem, and the importance of sustainability and biodiversity. Our human activities have accelerated changes in our environment. We must work together to safeguard this fragile eco-system for our future generations, and take climate change seriously.

In short, these three changes – the changing competitive landscape, rising inequalities, and importance of sustainability – are all mega-shifts, that will continue to reshape the world. To stay on top of these changes, we must bring all stakeholders together swiftly to respond to and seize the diverse opportunities.

So, while last year’s Budgets were tilted towards emergency support in a broad-based way, this year’s Budget will focus on accelerating structural adaptations. In the face of major changes, we must move from just counter-cyclical fiscal and monetary stabilisation policies, to structural economic policies to equip our businesses and workers with deep and future-ready capabilities.

Like many countries, we have devoted significant resources to preserve lives and livelihoods in the face of this pandemic. But what will continue to distinguish Singapore are our investments for the future. We will invest in our people – so they can bounce back and be ready for opportunities that arise; and we will invest in our businesses – so they can innovate, build deep capabilities and seize growth opportunities. Singapore must never stop thinking of the future, even as we respond swiftly to meet current needs. This is how we stay exceptional, and staying exceptional is how we survive.

Over the next three years, I will allocate $24 billion to enable our firms and workers to emerge stronger. The efforts will span several years, but it is crucial that we start today. This builds on the momentum of the transformation push started five years ago, when we launched our Industry Transformation Maps.

In this financial year, I will focus on how we can move decisively to build three enablers for this next phase of transformation, to emerge stronger.

First, to grow a vibrant business community, with a strong spirit of innovation and enterprise, deeply connected with Asia and the world.

Second, to catalyse a wide range of capital to enable businesses to transform and scale.

Third, to create opportunities and redesign jobs, for our people to develop their skills, creativity and talents. Ultimately, the purpose, the raison d'être of our economic transformation is to grow opportunities for our people to realise their full potential and aspirations.

Let me now elaborate on how we will invest in these three key enablers.

As a small, open city-state, Singapore has maintained the vibrancy of our society by enabling the global flow of goods, ideas, capital and people through our shores.

COVID-19 disrupted our physical connectivity but accelerated the rise of the virtual and knowledge economy.

To emerge stronger, we must deepen Singapore’s position as a Global-Asia node.

We will restore our physical connectivity and transform our aviation sector for recovery.

We will also expand our digital connectivity and deepen our capacity to collaborate and innovate with partners around the world.

Travel and connectivity have taken a severe hit due to COVID-19, and recovery may be prolonged.

In particular, COVID-19 has reshuffled the global web of connectivity, and changed the aviation landscape.

Airports will be differentiated by their capabilities in securing public health and enabling safe travel. They will need digitalised systems and the ability to effectively re-route people and goods.

To secure our position as a key aviation hub and maintain Changi’s position as a safe, trusted and well-connected airport for travellers and employees alike, we will restore Changi’s connectivity and invest in on-arrival testing and biosafety systems.

This includes the Notarise and Verify system being developed by GovTech through private-public partnerships. For instance, GovTech is working with local start-up Affinidi, on a software that can quickly verify the authenticity of digital COVID-19 test result certificates and vaccination records. [Please refer to Annex C-4.]

Beyond physical connectivity, the post-COVID-19 economy will see two key shifts:

First, a shift from physical to digital modes of transactions across geographical borders.

Second, a shift from tangible to intangible assets in value creation. Such intangible assets include the knowledge, networks and data that businesses can use to create new technologies and innovations.

To remain competitive, businesses will need to innovate and collaborate on a global scale.

To support our businesses, I will invest in three key platforms.

The first platform is the Corporate Venture Launchpad, which will be piloted this year to drive new innovative ventures. The Launchpad will provide co-funding for corporates to build new ventures through pre-qualified venture studios. This is especially useful for larger businesses which want to rekindle a start-up mindset within their organisations.

One such venture studio which I visited recently is BCG Digital Ventures. They collaborated with Olam, a Singapore food and agricultural multinational to build Jiva, a farmer services platform. This platform will help farmers in developing countries to increase crop yield, access credit and connect directly to buyers. This venture helps meet the rising global food demand, while uplifting the income of farmers. [Please refer to Annex C-4.]

The second platform is the Open Innovation Platform, or OIP.

The OIP facilitates the matching of problems faced by companies and public agencies with solution providers, and co-funds prototyping and deployment.

For example, through the platform, the Building and Construction Authority, was matched with three solution providers, TraceSafe, TagBox and Nervotec, to develop solutions for safe re-opening of worksites. The firms developed real-time systems that helped construction site owners conduct contact tracing and health monitoring of their workers.

I will enhance the OIP with new features such as a cloud-based Digital Bench for accelerated virtual prototyping and testing. [Please refer to Annex C-1.]

The third platform I will enhance is the Global Innovation Alliance, or GIA.

The GIA serves to catalyse cross-border collaboration between Singapore and major innovation hubs globally.

Since its inception in 2017, over 650 students and about 780 Singapore businesses have taken part in innovation launchpads overseas. 40% of these were in Southeast Asia.

Last year, despite the pandemic, there were over 100 potential business matches between Indonesian and Singapore-based corporates.

WaveScan, a Singapore start-up specialising in sensor technology, tapped on GIA and formed a partnership with A.L.I. Technologies, a company in Japan specialising in unmanned miniature aircraft. WaveScan also attracted investments from Leave a Nest, a GIA operating partner in Tokyo. [Please refer to Annex C-4.]

The GIA network currently has 15 city links, including four Southeast Asian cities – Bangkok, Ho Chi Minh City, Jakarta and Manila. I will expand it to more than 25 cities around the globe over the next five years.

The GIA will also be enhanced through the inclusion of the Co-Innovation Programme. The Programme will support up to 70% of qualifying costs for cross-border innovation and partnership projects.

In 2019, 31 Singapore companies were supported for projects with enterprises from 11 partner countries.

One of them, Xnergy, is a local deep-tech start-up with expertise in contactless charging. Through the Co-Innovation Programme, Xnergy partnered with Balyo, a French multinational, to co-develop contactless charging systems for forklifts. [Please refer to Annex C-4.]

As businesses innovate, they will create intellectual property and intangible assets, or IP and IA. They will need to identify and protect, value and manage, and commercialise these. To support businesses in commercialising the fruits of their innovation, we are developing the Singapore Intellectual Property Strategy 2030. This will include equipping businesses with tools to value their IP and IA, and training skilled professionals in these fields. The Intellectual Property Office of Singapore will announce the details on World IP Day in April.

Strong connectivity enables our businesses to plug into global and regional supply chains and industry clusters, and deepen our innovation partnerships.

We are stepping this up with ASEAN nations.

The ASEAN nations had a GDP of US$3.2 trillion collectively in 2019, making it the world’s fifth largest economy. The ASEAN region also became China’s largest trading partner in 2020. There is significant growth potential in this region, with favourable demographics for the next two decades.

Last December, ESG, IMDA and EDB launched the inaugural Southeast Asia Open Innovation Challenge which saw participation from Indonesian, Malaysian, Thai, and Vietnamese corporates.

To add on to these efforts, the Singapore Business Federation will be officially opening two new overseas offices soon – one in Jakarta and one in Ho Chi Minh City.

We have also launched cross-border projects through ASEAN platforms. One such project is the YCH Vinh Phuc Inland Container Depot Logistics Centre that was launched last November. This is a joint landmark SuperPort project between Singapore-based YCH Group and T&T Group, a Vietnamese conglomerate.

To promote the integration of ASEAN markets, we are pursuing common frameworks in emerging areas. For instance, ASEAN nations have developed the ASEAN Payment Policy Framework to encourage retail payment linkages between ASEAN countries.

We will continue to work closely with our ASEAN members, to enhance digital connectivity and cybersecurity, and to get ready for the Fourth Industrial Revolution, building on initiatives such as the ASEAN Smart Cities Network.

We will also continue to enhance our infrastructure investments in the region.

The Kendal Industrial Park was a joint investment between Singapore’s Sembcorp and Indonesia’s PT Jababeka to build up activities in food processing, building materials, and medical equipment manufacturing, amongst other sectors.

In my Statement in October last year, I also announced our intent to enhance cooperation with our most immediate neighbours, through Iskandar Malaysia in Johor, and the islands of Batam, Bintan, and Karimun in the Riau Islands.

One of the goals is to build up a cluster of industries around the electronics, medtech, food manufacturing and processing sectors, as these see rising demand in ASEAN nations.

The recently launched Southeast Asia Manufacturing Alliance will support these efforts. It serves to promote a network of industrial parks to manufacturers interested to invest in both Singapore and the region, and connect local firms with these manufacturers.

On the digital front, we are working with our Indonesian partners to build the Nongsa Digital Park to facilitate collaboration between Singaporean companies and tech talent in Indonesia.

As Singapore, Malaysia and Indonesia grow together, benefits will also be reaped by the wider Southeast Asian region.

To summarise, the first enabler is to grow a vibrant business community, with a strong spirit of innovation and enterprise, deeply connected with the ASEAN region, Asia and the world.

The second enabler is to catalyse a wide range of capital to co-fund and enable businesses, from start-ups to small, medium, and large enterprises, to innovate, transform and scale.

Businesses have had to preserve cash flows during these uncertain times. Yet, it is precisely during these extraordinary times, that those that are ready to seize new opportunities will emerge stronger.

To catalyse the flow of capital and bridge market gaps, the Government will step up risk-sharing arrangements with providers of capital, and provide grants to support businesses at various stages of growth.

First, for high-growth enterprises, including start-ups.

I will ensure that they continue to have access to financial capital, by extending and enhancing the Enterprise Financing Scheme - Venture Debt programme.

From 2016 to 2019, we have seen an annualised growth rate of 44% in the amount of early-stage funds raised for promising enterprises.

Our eco-system of budding entrepreneurs and venture funds is growing.

As part of the Venture Debt programme, the Government shares up to 70% of the risk on eligible loans with Participating Financial Institutions.

I will continue to support this programme, and increase the cap on loan quantum supported, from $5 million to $8 million.

With this, we expect about $45 million of venture debt to be catalysed over the next year.

Second, more mature enterprises, from micro and small, to medium and large enterprises, should also invest in new and emerging technologies to sharpen their competitiveness.

To encourage them to do so, the Government will co-fund their adoption of digital solutions and new technologies.

The new Emerging Technology Programme will co-fund the costs of trials and adoption of frontier technologies like 5G, artificial intelligence and trust technologies. This will support commercialisation of innovations and diffusion of technology downstream.

To help firms to identify and adopt digital solutions, a Chief Technology Officer, or CTO-as-a-Service initiative will provide access to professional IT consultancies.

A new Digital Leaders Programme will also support promising firms in hiring a core digital team and in developing and implementing digital transformation roadmap.

Beyond these new initiatives, I will also extend the enhanced support levels of up to 80% for existing enterprise schemes such as the Scale-up SG programme, Productivity Solutions Grant, Market Readiness Assistance, and Enterprise Development Grant, to end-March 2022.

Including these enhancements, I am setting aside $1 billion for these schemes. [Please refer to Annex C-1.]

In the coming years, a critical part of business transformation will be in job redesign. With technological advances, many tasks that are physically demanding or repetitive can be better done by machines. With an ageing workforce, we must leverage technology to develop senior-friendly workplaces.

An example is a household name, Tim Ho Wan. Working with NTUC’s e2i, it modernised what was previously tedious manual ordering, tabulation and reporting, saving 20-30% in man-hours. To ensure productivity gains are shared with employees, e2i also negotiated with the company to increase the salary of the impacted older staff. [Please refer to See Annex C-4.]

To support businesses in redesigning jobs, I will enhance the Productivity Solutions Grant – Job Redesign, by raising the Government’s co-funding ratio from 70% to 80%, till end-March 2022.

To support the growth of local companies, the Government has partnered equity firms to provide growth capital for companies to transform and scale.

Thus far, we have largely focused our efforts on small and medium enterprises, or SMEs, with annual revenues of up to $100 million. Companies of this scale traditionally lack attention from private equity players, while larger enterprises tend to have the means to raise capital.

However, changes in the global economic landscape and financial markets have made it harder for our large local enterprises, or LLEs to attract private equity. This may mean missed opportunities for companies with strong fundamentals to plug into new areas, as supply chains are reconfigured.

Our LLEs have good fundamentals. Over the years, many have expanded overseas, projecting the Singapore brand as a trusted and reliable partner.

To ensure growth capital is available for LLEs that are ready to transform or expand overseas on a larger scale, I will complement existing grants and loans, and support them through equity investments, tapping on market players to ensure commercial discipline.

I will set aside $500 million to be co-invested with Temasek in a Local Enterprises Funding Platform, to be managed commercially.

Temasek will match the Government’s funds on a one-for-one basis, so the platform will have $1 billion available for its investments.

The platform will invest in non-control equity and mezzanine debt of selected LLEs, which are willing to work with the fund manager to pursue their next phases of growth.

Temasek will bring its strong commercial discipline to this partnership.

The Ministry of Trade and Industry will provide more details on the Fund later.

I have touched on our support for companies – from high growth to more mature enterprises, from SMEs to LLEs.

The company is the basic economic unit. Each company’s transformation is necessary. But we can reap the full benefits of transformation, when we transform the entire value chain.

So, for the next phase of our industry transformation, I will focus on the transformation of entire value chains – where each player in the chain works together to integrate and digitalise processes, and upskill their workers. We will build on the Alliances for Action and begin with a few alliances first. We will start with the Built Environment sector, where I will launch the Growth and Transformation Scheme or GTS.

Since the launch of the Construction Industry Transformation Map in 2017, the Government has made a big push to drive transformation in the Built Environment sector. Firms have adopted new ways of doing things, such as Design for Manufacturing and Assembly, or DfMA, and Building Information Modelling. Adoption for DfMA technologies has doubled from 19% in 2017 to 39% in 2020. But it can be much better.

This sector has just experienced an existential threat last year and is recovering. Developers, consultants and contractors now realise the urgency to radically improve productivity and reduce the reliance on labour-intensive methods.

The GTS for the Built Environment sector will require developers to work closely with their consultants, contractors and suppliers to level up as an eco-system or value chain. Working together to transform and innovate, the alliance members can achieve more than what each alone can do.

So, while we continue support the sector’s recovery, we will tilt our support to enable it to transform decisively. Our resolve in achieving transformation of the industry – and, in fact, of all industries – is clear and unwavering.

The Minister for National Development will elaborate on this at the COS.

I have touched on the first two enablers in our next phase of transformation – to grow a vibrant and connected business sector with a strong spirit of enterprise, and to catalyse a suite of capital tools. Let me now focus on the third enabler – to develop the skills, talents and creativity of our people.

Enabling our people to have access to good jobs and job opportunities is the purpose for developing a strong economy. A vibrant economy creates the jobs and opportunities for our people to be at their best.

The employment landscape is undergoing fundamental changes, and COVID-19 will accelerate these changes.

A digital, innovation-driven economy means that businesses will need highly-skilled workers and deep talent. Our people will need to have both broader and deeper skills and creativity.

The workplace is changing. COVID-19 has forced us to work from home and adopt new ways of collaborating with others.

A Mercer survey last year showed that over 90% of employers globally saw similar or higher productivity despite employees working remotely. Over 80% of firms intend to implement more flexible working policies. These are global trends that our people will have to adapt to.

‘Working from Home’ is just a short step to ‘Working from Anywhere’. Yes, anywhere in the world – as long as you have a computer and Internet connection. Singaporeans may find more opportunities as the best firms source globally, but will also face stiffer competition from talents who may not even step foot in Singapore.

But Singaporeans should not be fearful. There are many strengths in Singapore that will enable us to create good jobs here. But to access these, we have to learn and adapt.

I met Mr Edmund Tang last September, when he was at the e2i Trade and Connectivity Career Fair looking for a job. He had been working on autonomous vehicles but decided to explore if his skills could be better deployed. An e2i career coach matched him with a job opening. Today, he is a Senior Business Development Manager in the Advanced Remanufacturing and Technology Centre, an A*STAR Research Institute. In his new role, he is able to build on his experience to develop new skills in a new area and role. [Please refer to Annex C-4.]

The SGUnited Jobs and Skills Package is a key pillar in our industry transformation, to enable Singaporeans to learn and thrive, as our jobs and workplace change, and as businesses transform.

It was first launched last year, to tackle the anticipated labour market fall-out from COVID-19.

As of end last year, we have placed nearly 76,000 individuals into jobs, traineeships, attachments and skills training. Under the Jobs Growth Incentive, or JGI, an estimated 110,000 local jobseekers were collectively hired within two months from the implementation of the scheme.

Looking ahead, as companies and industries transform, and new growth areas emerge, our people will need to have the skills and agility to move. To emerge stronger, our people will need new knowledge and skills.

To enable our people to take on these new jobs, I will allocate an additional $5.4 billion to a second tranche of the Jobs and Skills Package, on top of the $3 billion allocated last year.

Of this, $5.2 billion will be allocated to JGI, to extend the hiring window by seven months, up to end-September 2021.

Companies hiring eligible locals will be given up to 12 months of wage support from the month of hire.

However, those hiring mature workers, persons with disabilities and ex-offenders will be given up to 18 months of enhanced wage support. [Please refer to Annex C-2.]

For workers who require additional support before landing a job, we will also extend the support for the SGUnited Skills, SGUnited Traineeships and the SGUnited Mid-Career Pathways Programmes. [Please refer to Annex C-2.]

Through the next phase of the SGUnited Jobs and Skills Package, we have set aside the budget to support the hiring of 200,000 locals this year through the JGI, and provide up to 35,000 traineeship and training opportunities to continue to support jobseekers in upskilling and accessing employment opportunities.

As we head into a more technologically-intensive and innovation-driven economy, we must also groom leaders in innovation and enterprise, especially in deep technology areas.

The NRF will be supporting about 500 Fellowships under the new Innovation and Enterprise Fellowship Programme, or IFP, over the next five years, to meet needs in areas such as cybersecurity, artificial intelligence and health tech. It will work with a range of partners, including accelerators, venture capital firms and deep tech start-ups.

The first partner, SGInnovate, recently launched Power X (Robotics), the first programme under IFP, to develop local talent for the fast-growing robotics and automation sector. Trainees undergo a nine-month programme to learn and apply robotics-related skills on real-world projects, and are thereafter placed with their respective host companies to help drive innovation.

The inaugural programme has 10 trainees in six host companies. One of the trainees, Mr Cheng Yi Chiao, previously worked in various MNCs and start-ups overseas. He returned to Singapore and was emplaced in an agri-tech start-up, Polybee. Working together with Polybee's team, Mr Cheng has learnt in a very short time how automation of pollination with micro drones works. These efforts are in line with the enhancement of food security in Singapore with deep tech. [Please refer to Annex C-4.]

The host companies have welcomed this initiative to build up tech talent in Singapore.

Next, I will touch on the healthcare sector.

Our healthcare workers have, over the years, been working hard to provide us with the highest quality of care. Since COVID-19 hit, their exemplary commitment has shone through. Once again, let me express our deepest appreciation to all healthcare workers for your dedication in fighting the pandemic.

Beyond the pandemic, the healthcare sector is set to grow as our people age. This sector provides many good skilled jobs that are noble, meaningful and make a difference to Singaporeans.

We will enhance the salaries of our nurses and other healthcare workers such as support care staff. This will apply to workers across public healthcare institutions, and publicly-funded community hospitals and long-term care service providers. [Applause.]

The Minister for Health will announce the details at the COS.

I will now turn to manpower issues.

Some Singaporeans are concerned about our reliance on, and competition from, foreign manpower. At the same time, many businesses and trade associations have said that it is difficult to hire locals, and asked for us not to tighten foreign worker quotas further, to remain globally competitive.

The way forward is neither to have few or no foreign workers, nor to have a big inflow. We have to accept what this little island can accommodate. To strike a balance, we must focus on enhancing the complementarity of local and foreign manpower, and step up on industry transformation. In line with this, I will support the employment of Singaporeans while we deepen their capabilities and promote capability transfer, while moderating our reliance on foreign labour where we must.

I will provide further help to support wage increments for companies to retain or draw in locals by extending the Wage Credit Scheme for a year, at a co-funding level of 15%. I urge employers to make use of this and other schemes to redesign jobs and upskill their local staff.

For sectors, especially those in new growth areas, where we may be short of skills, we welcome expatriates with the right expertise to complement Singaporeans and help us build capabilities. This will allow us to add vibrancy to the local market, better serve international and regional markets, and enhance Singapore’s attractiveness to global investors.

The Capability Transfer Programme, or CTP, is one of many programmes that supports such foreign-to-local skills transfer. As of end-2020, more than 140 companies, and over 970 locals have benefitted or are expected to benefit from 40 projects.

I will extend the CTP up to end-September 2024.

One Singaporean who has benefited from the CTP is Mr Mohamad Zaini Bin Selamat. He is a Technical Officer at SP Services who learnt skills from foreign experts in network support for the roll-out of advanced electricity meters. He is now performing higher-value work such as fault isolation and data analysis and supervising junior colleagues. [Please refer to Annex C-4.]

To complement our local workforce, we also have the S Pass for companies to hire workers with the technical expertise. I had indicated at the Unity Budget in February 2020, that the Manufacturing S Pass Sub-Dependency Ratio Ceiling, or sub-DRC, would be cut when conditions allow.

Manufacturing is a significant pillar of our economy. To achieve our vision of being a global advanced manufacturing hub, firms must make it a priority to develop a strong, highly-skilled local core in their workforce.

We cannot do without foreign workers, especially those with deep skills. But we should moderate further our reliance on them, so as to focus on creating good jobs for locals.

Therefore, we will reduce the sub-DRC for Manufacturing in two steps, to 18% from 1 January 2022, and to 15% from 1 January 2023. [Please refer to Annex C-3.]

This is in line with the tightening already underway in other sectors such as the Services, Construction, and Marine Shipyard and Process sectors.

The move has been carefully calibrated, so that firms have one year to adjust, before changes are implemented.

We will continue to review our S Pass framework, including the qualifying salary and levies, to ensure we maintain complementarity between the local and foreign workforces.

I have touched on how we plan to emerge stronger as a workforce and as an economy.

Beyond economic opportunities, what is fundamental is our sense of purpose and our sense of togetherness. Since our independence, we have been seeking to build a fair, just and caring society. We have been building strong bonds as a people and deepening our social compact.

In this pandemic, we have seen how Singaporeans united in adversity and supported one another.

Social cohesion does not happen naturally. Even before COVID-19, many societies were facing sharp divisions due to widening inequalities, increasing diversity of interests and voices, and growing distrust. The pandemic has deepened the cracks in many societies.

Singapore is not immune to these challenges. We must continue to strengthen our social fabric and reject forces of division and discord.

Over the years, the Government has been investing significantly in three key areas:

We subsidise healthcare heavily to ensure that every Singaporean has access to affordable and quality healthcare.

We invest in education to ensure that every Singaporean has access to opportunities to maximise their potential, regardless of their starting point in life.

We promote home ownership, with significant subsidies for public housing. Home ownership enables Singaporeans to share in the nation’s growth, while ensuring a roof over their heads even in times of uncertainty like this.

Strengthening our social compact will always be a work-in-progress. As we recover from this crisis of a generation, let us strive to emerge stronger as a society.

In June last year, we launched the Emerging Stronger Conversations in the midst of the pandemic. I thank the 17,000 individuals who participated and shared their views.

I am glad that many expressed their wish for a fair, equal and caring society, with more support for vulnerable groups, such as lower-wage workers and persons with disabilities.

Last June, I also announced that we would form Singapore Together Alliances for Action, or AfAs. These will become a key approach to forging partnerships and cross-sector collaborations to pursue new growth areas, and to tackle complex issues, including those that have come up through the Emerging Stronger Conversations.

Within eight months, 15 AfAs have been formed or announced, alongside other existing partnerships and collaborations.

Going forward, the National Council of Social Service and SG Enable will also form an AfA on support for care-givers of persons with disabilities. This AfA will build on the good work of our community partners and individuals, and harness their resources and creativity to co-create solutions to improve support for care-givers.

The Minister for Social and Family Development will announce details at the COS.

We expect more AfAs to be announced in the months ahead.

In the five Budgets last year, we brought immediate relief and support for families and workers, looking out especially for those who were more badly affected.

For families, we provided the Care and Support Package and the Solidarity Payment, which benefited all Singaporeans regardless of income or housing type, with more for the less well-off.

For workers, we implemented the COVID-19 Support Grant, the Self-Employed Person Income Relief Scheme and the Temporary Relief Fund.

For the vulnerable groups, we disbursed the Workfare Special Payment to lower-income workers. Grocery Vouchers and additional GST Voucher – U-Save provided further support for lower-income families.

As the economic situation remains uncertain, I will introduce a Household Support Package, to provide additional support to families.

First, for lower- and middle-income households. All Singaporeans who are eligible for GST Voucher – Cash will receive an additional one-off GST Voucher – Cash Special Payment of $200. This is on top of the regular GST Voucher – Cash payment.

I will also provide a GST Voucher – U-Save Special Payment to eligible HDB households, amounting to an additional 50% U-Save rebate over one year. Each household will receive additional utilities rebates of between $120 and $200 this year.

Second, I will also extend the Service and Conservancy Charges Rebate for all eligible HDB households for another year.

Third, for families with Singaporean children below the age of 21, I will provide an additional top-up of $200 per child through the Child Development Account, Edusave Account, or Post-Secondary Education Account, to further support parents as they invest in their children’s future. This will be on top of the annual Edusave top-ups for children in Primary and Secondary schools.

Singaporeans’ sense of unity and discipline in observing the precautionary measures such as safe distancing and mask wearing has enabled our progress so far in combating the pandemic. The discipline and understanding of our local merchants and hawkers have also been important. However, they have been quite affected by the safety measures, especially during the circuit breaker.

To thank all Singaporeans for their sense of solidarity, and to continue to support our heartland businesses and hawkers, I will partner the Community Development Councils, or CDCs, to give all Singaporean households $100 worth of CDC Vouchers per household, to be used at participating heartland shops and hawker centres.

I hope that this new tranche of vouchers can bring more business to our hawkers and heartland shops. To resource this, I will provide an additional grant to the CDCs amounting to $150 million. More details will be announced by the CDCs later.

Altogether, the Household Support Package will cost about $900 million.

This Household Support Package provides some support to all families, with lower- to middle-income families receiving more. [Please refer to Annex D-1.]

Our President, at the Opening of Parliament, spoke about the strengthening of our social safety nets. To strengthen our social compact, we must work together to address the challenges faced by the more vulnerable members of our society. The Government will continue to allocate resources in our annual Budgets for this.

Beyond short-term relief, some Singaporeans have been more badly affected by the pandemic. I will highlight three groups that need more support.

The first group are workers who are earning low wages or facing more challenges with employment. The second group are lower-income families. The third group are our children with special needs.

Let me first touch on the first group – workers who need more support, starting with our lower-wage workers.

Today, we adopt a multi-pronged approach in supporting them.

This includes the enhanced Workfare Income Supplement scheme, Workfare Skills Support scheme, the Progressive Wage Model and Workcare.

In October last year, the Tripartite Workgroup on Lower-Wage Workers was formed to explore ways to uplift the wages and prospects of our lower-wage workers.

The Government’s aspiration is for every sector of the economy to have some form of Progressive Wages. The Tripartite Workgroup is making good progress. The Ministry of Manpower will provide details on the approach for expansion later.

Next, our older workers may also need more support. The Government has been exploring ways to enable workers to continue working if they want to.

The Prime Minister announced at the National Day Rally in 2019 that we will raise the Retirement Age and Re-employment Age to 63 and 68 respectively in 2022, with the Government and the Labour Movement effecting this a year earlier in 2021.

To help businesses adjust, I introduced the Senior Worker Support Package in the Unity Budget last February.

I am happy that the take-up rate for the Senior Worker Early Adopter Grant and Part-Time Re-employment Grant, two key components of the Senior Worker Support Package, have exceeded expectations.

I thank our businesses for supporting your employees who wish to work longer.

To support more companies to move earlier to raise their retirement and re-employment ages, I will increase the budget allocation for the Senior Worker Early Adopter Grant and the Part-Time Re-employment Grant by over $200 million. The Ministry of Manpower will provide more details.

Another segment of workers who may face greater challenges in securing or retaining jobs, are persons with disabilities, or PwDs.

To encourage employment and training of PwDs, MSF announced two weeks ago, the creation of 1,200 new job and training opportunities for PwDs.

This builds on the various initiatives to boost employment for PwDs, such as the Open Door Programme and the Enabling Employment Credit.

I have touched on the segments of the workers who need more support. The second group of Singaporeans who have been badly affected by the pandemic are our lower-income families.

MSF has been working to strengthen social service delivery and provide holistic support for our lower-income families.

Community Link, or ComLink, is one such initiative. Introduced in 2019, ComLink has become one of MSF’s key initiatives to help families with children who are staying in rental housing.

ComLink seeks to provide holistic support to low-income families. By mobilising community assets and galvanising local volunteering efforts, ComLink provides families with the tools and support to do better.

MSF also ensures that ComLink is coordinated with other initiatives such as UPLIFT and KidSTART, to provide families with seamless, holistic support.

MSF has made good progress. Since implementation, MSF is supporting about 1,000 families.

Mdm Soo Bee Keow and her children are one of those who have benefitted from ComLink. Through this initiative, Mdm Soo’s family is able to benefit from a range of additional support, from grocery vouchers to back-to-school items which help to offset living expenses, to enrichment programmes for her children such as the kidsREAD programme. [Please refer to Annex C-4.]

To provide holistic support to more families, I will provide resources for MSF to expand ComLink significantly – to a nationwide programme to eventually cover 14,000 families with children, over the next two years.

The Minister for Social and Family Development will provide details at the COS.

Besides vulnerable workers and low-income families, the third group we need to pay special attention to is our children with special needs.

Over the years, we have enhanced our support for students with special needs, within MOE schools and in Government-funded special education schools.

Children under seven with developmental needs can benefit from a differentiated approach to help them learn better.

Building on these, we will look into piloting an Inclusive Support Programme. This pilot integrates the provision of early intervention and early childhood services for children who require up to medium levels of early intervention support. Many of these children are already attending pre-schools, and this programme will allow them to be more meaningfully engaged alongside other children. We believe this will benefit all children and help them develop social skills and social inclusion.

Ensuring equal opportunities for all, and supporting the needy and vulnerable segments of our society are integral to strengthening our social compact.

We will continue to identify and target groups who may need further support, including emerging groups of workers in more vulnerable areas.

For self-employed persons, we will continue to study ways to enhance their job security and strengthen their retirement adequacy. The Government is working with our unions and various agencies on these efforts, including outreach to more self-employed persons.

The COVID-19 crisis has increased a sense of vulnerability among our workers. The Government will continue to explore how we can better support our workers to meet the challenges arising from accelerated changes in the economic landscape.

Next, let me talk about how we will emerge stronger as a community. [Please refer to Annex D-2.]

COVID-19 has affected our people in different ways, both tangible and intangible.

While safe distancing measures, especially during our circuit breaker, have enabled us to keep the virus from spreading, they have also caused feelings of loneliness and isolation in some groups.

Our community partners, charities and Social Service Agencies have stepped up their support well, and the Government will continue to work closely with them.

However, this sector is facing new challenges. Donations to certain platforms, such as Giving.sg, and for specific causes like COVID-19, have risen. But donations to many charities in general, and income streams for their recurrent programmes, have fallen. Some charities even had to dip into their reserves to keep operations going.

This affects the help that goes to those who need it. I encourage individuals and corporates to do more for our charity sector if you can.

The Government has been playing its part. We have a multi-pronged approach to encourage charitable giving. This includes tax incentives for donations made to Institutions of a Public Character or IPCs, and Government grants that match donations raised.

As it stands, the current level of 250% tax deduction on donations to IPCs in Singapore is high, compared to other jurisdictions. However, this is set to lapse at the end of 2021.

To encourage Singaporeans to give back to the community and to provide strong support for the charity sector in this time of crisis, I will extend the 250% tax deduction for donations to IPCs for another two years, until the end of 2023.

I will also extend the additional Government support for Tote Board’s Enhanced Fund-Raising Programme by one year. Charities can apply to receive dollar-for-dollar matching on eligible donations, which are raised from projects in FY2021, up to a cap of $250,000 per applicant. This includes donations raised through approved digital platforms.

I hope the additional support will help tide our charities over the crisis, to enable them to do their good work to support the vulnerable in our community.

In particular, Community Chest, or ComChest, plays a critical role in raising funds for many Social Service Agencies, including for programmes that uplift lower-income families, such as KidSTART. To encourage more giving during these challenging times, I will support ComChest in two areas:

First, I will extend ComChest’s SHARE as One matching period to FY2023. The SHARE as One scheme provides dollar-for-dollar matching for new and additional donations through the SHARE programme, which enables corporates, employees and individuals to commit to regular giving.

Second, I will set aside $20 million for a new Change for Charity Grant. There is potential for businesses to do more to facilitate spontaneous acts of daily giving, for example, by encouraging their customers to make donations at the point of transaction. The Grant will match ComChest donations raised through this new initiative. The grant also co-funds one-off development costs needed to integrate or enhance donation functions onto businesses’ payment platforms.

The Minister for Social and Family Development will share details at the COS.

Besides philanthropy, we also seek to encourage volunteerism.

Businesses can play an important role in kickstarting their employees’ volunteering journey.

Singtel is an example of a strong corporate advocate for employee volunteerism. From supporting children and youth with special needs, to enabling digital inclusion for the older generation, Singtel volunteers have been actively engaging the community they serve. This year, Singtel employees have been volunteering at Senior Activity Centres to teach seniors how to use smart phones and equip them with basic digital skills to stay in touch with loved ones online and make cashless payments. [Please refer to Annex C-4.]

To encourage more corporate volunteerism, I will extend the Business and IPC Partnership Scheme for another two years, until the end of 2023.

I encourage our corporates to partner our IPCs. Together, we can make a bigger impact to meet the diverse needs of our community.

Despite the stresses that Singaporeans face in this period, we continue to hear many heart-warming stories of our people stepping up to make a difference.

I recently met a group of Singaporeans who came together in the early days of the pandemic to set up N-Lab, a surgical mask manufacturing facility in Singapore. The core group served NS together. They put in close to $1 million of their own capital to design and manufacture masks, and donated many masks to the community. This is a good example of SG Together – where we come together to make a difference. It is also a testament to the enduring value of NS! [Please refer to Annex C-4.]

I hope these acts of kindness will inspire more people to come forward.

Apart from national level efforts, efforts by the community – voluntary organisations, corporate partners and individuals – enable us to meet the diverse needs of different groups who need support, especially at the ‘last-mile’.

To provide greater support for bottom-up, innovative initiatives which address the needs of the community, the Government will provide three dollars for every dollar raised, for the CDCs’ Care and Innovation Fund. I will set aside $50m for this matching grant.

The CDCs will share more details later. The tax measures are coming at the end, so I will see whether I can stretch it beyond 5.00 pm!

I will now turn to how we embrace sustainability and build a sustainable home for generations to come.

The COVID-19 pandemic reminds us that a pandemic can be an existential threat for humanity. Another existential threat is climate change.

Unlike COVID-19, which was a sudden and sharp shock, climate change is a gradual and intensifying risk, year after year.

It can result in extreme weather patterns, which threaten the world’s food and water supply, disrupt global supply chains, diminish biodiversity and upset ecological systems.

Tackling climate change needs a global solution. Countries, no matter how big or small, must play their part and cooperate with one another.

We will continue to support international and regional efforts towards climate action and play an active role at the United Nations Framework Convention on Climate Change negotiations.

Our emissions may be just a small fraction of the world’s, but we must do our part.

Sustainable development is a major priority for Singapore. This is not new to us. Our earlier generations of leaders laid the foundations of long-term planning and sustainable development.

Mr Lee Kuan Yew emphasised the building of a Garden City in our early years and transformed Singapore from a polluted backwater with mucky rivers in 1965, to one of the cleanest and greenest cities in the world today.

And we have continued to devote resources towards our environment. Over recent Budgets, the Government has put together plans to tackle climate change and translated them into action.

To improve air quality, we restructured diesel tax in 2017 and 2019.

We introduced a carbon tax, and passed the milestone Resource Sustainability Act in 2019, to encourage enterprises to reduce their greenhouse gas emissions and work towards becoming a zero-waste nation.

And in 2020, we enhanced our Nationally Determined Contribution, a commitment to further limit our emissions as part of the Paris Agreement. We also announced our Long-Term Low-Emissions Development Strategy, which sets out our plans for mitigating and adapting to climate change till 2050 and beyond.

We will build on our strong foundations and run a national movement to build a sustainable Singapore for all generations.

As the Minister for Sustainability and the Environment said in our recent debate on the Motion to Accelerate and Deepen Efforts against Climate Change, sustainability is a journey, not a destination. Our work to achieve sustainable development is never done.

Last week, we launched the Singapore Green Plan 2030.

This is an ambitious long-term plan that builds on ongoing efforts, to secure a green, liveable and sustainable home for generations of Singaporeans to come.

Various Government agencies are working in concert. For example:

MND is bringing even more greenery to our island home and transforming Singapore into a beautiful City in Nature, while building up carbon sinks by extending nature throughout our island.

MOT is pressing on with our efforts to become a car-lite society by improving public transport, encouraging active mobility, while discouraging pollutive vehicles.

MOE is strengthening our education on sustainability practices among our young.

MSE and MTI are leading the push to become more energy- and resource-efficient, develop the green economy and jobs, and invest in urban solutions.

This is a whole-of-society effort to meet a global challenge. But it is not without constraints and trade-offs.

Costs and benefits of projects will change, as climate cost is factored in and as technology advances. We must continue to stay open and adaptive, and carefully balance our development objectives with sustainability considerations.

Technology is one such game changer and will open new possibilities. We harnessed technology to overcome our water and land constraints, and will do the same for climate change.

For example, under the Cities of Tomorrow R&D programme, researchers from A*STAR and HDB led the development of the Integrated Environmental Modeller. This is a tool incorporating wind, solar irradiance, shading and environmental noise, to forecast how these factors can affect thermal comfort for residents. It has been used by our urban planners in the planning of Tengah Housing Estate, to maximise thermal comfort for residents. Urban Solutions and Sustainability will be a focus area under RIE2025, with investments going towards research to help us build a more sustainable and liveable environment.

One promising story of innovation by our entrepreneur is the Aquaculture Centre of Excellence, which has innovated and patented “Eco-Ark” with funding support from the Agriculture Productivity Fund. With advanced aquaculture technologies, Eco-Ark is able to produce 20 times more output than the average in coastal fish farms. This improves our food resilience, as part of the 30-by-30 goal. [Please refer to Annex C-4.]

To continue supporting technology adoption in the agri-food sector, I will set aside $60 million for a new Agri-Food Cluster Transformation Fund. This will replace the Agriculture Productivity Fund. The Minister for Sustainability and the Environment will elaborate at the COS.

Technology is also changing the future of transport. While we are going car-lite, we can further reduce emissions by switching to cleaner-energy vehicles.

Electric Vehicles, or EVs, is the most promising clean-energy vehicle technology today.

Last year, I announced the expansion of Singapore’s public charging infrastructure for EVs.

We will accelerate the development of our charging infrastructure to better support the growth of EVs in the next decade. We aim to deploy 60,000 charging points at public carparks and private premises by 2030 – more ambitious than our previous target of 28,000.

To catalyse partnership between the public and private sectors, I will set aside $30 million over the next five years for EV-related initiatives, such as measures to improve charging provision at private premises.

To further encourage the early adoption of electric cars, we will narrow the cost differential between electric cars and internal combustion engine cars, or ICE cars.

I will lower the Additional Registration Fee floor to zero for electric cars, from January 2022 to December 2023. This enables mass-market electric car buyers to maximise the rebates from the EV Early Adoption Incentive.

I will also revise the road tax treatment for electric cars, by adjusting the road tax bands so that a mass-market electric car will have road tax comparable to an ICE equivalent.

The Minister for Transport will provide details at the COS.

In tandem, we will further discourage the use of internal combustion engine vehicles.

Singapore has taken steps to reduce vehicular emissions and we have seen positive outcomes.

In 2017 and 2019, we restructured diesel taxes to shift away from an annual lump-sum tax towards a usage-based tax system.

Taxi companies, in particular, have made strides in shifting towards petrol hybrid and electric taxis, with the proportion of diesel taxis in their fleets halving from 86% in 2015, to 42% in 2020.

Usage-based tax has helped shape consumer behaviour towards a more efficient use of fuel, or environmentally-friendly alternatives.

To build on the momentum, I will raise petrol duty rates: for premium petrol, the duty will be raised by 15 cents per litre; for intermediate petrol, the duty will be raised by 10 cents per litre.

These changes will take effect today. To ease the transition for Singaporeans, especially for those who rely on their vehicles for their livelihood, I will provide these support.

For motorcycles using petrol, I will provide a 60% road tax rebate to all motorcycles for one year. In addition, individual owners of smaller motorcycles up to 400cc will receive $50 or $80 in cash, depending on engine capacity.

For active taxi and Private Hire Car drivers using petrol and petrol-hybrid vehicles, I will provide a Petrol Duty Rebate of $360, given out over four months. This is in addition to a one-year road tax rebate of 15% to all taxis and passenger cars using petrol.

For goods vehicles and buses using petrol, I will provide a one-year road tax rebate of 100%.

For cars using petrol, I will provide a one-year road tax rebate of 15%.

All road tax rebates will take effect from 1 August 2021.

The additional Petrol Duty Rebates for motorcycles, taxis, and Private Hire Cars will be introduced by the middle of 2021. More details will be released by LTA in April.