Gan Kim Yong
Singapore
“Consumer complaints relating to the secondary resale market for tickets to major events and concerts have generally remained low. Nonetheless, to protect the public from scams on secondary ticket resale platforms, the Police have imposed Code of Practice requirements under the Online Criminal Harms Act to require designated online service…”
“Singapore does not condone the use of forced labour. We criminalise forced labour in Singapore under various laws. Relevant Government Ministries and agencies, such as the Ministry of Manpower, Ministry of Home Affairs and Singapore Police Force, play their part in investigating complaints of suspected breaches in domestic laws that relat…”
“The Association of Banks in Singapore (ABS) discontinued the PayNow nickname feature as scammers had been exploiting the use of nicknames to impersonate legitimate entities and trusted individuals.”
“As of end-2025, around 6,900 private residential buildings have registered their solar installations with SP Group for the export of excess solar-generated electricity to the grid. The installed solar capacity of these residential buildings is 115.3 megawatt-peak (MWp), or around 5.5% of all current installed solar capacity in Singapore.”
“The one-year pilot extension of liquor trading hours has seen strong interest from businesses. As of 31 May 2026, the Police have approved 88 applications for the extension of liquor trading hours from public entertainment outlets in these areas.”
“The Government does not make projections of domestic or regional demand for renewable diesel or sustainable aviation fuel. Demand depends on commercial considerations, evolving market conditions and regulatory developments across different jurisdictions.”
The complete record
Every one of 3,841 lines we hold for Gan Kim Yong, in date order, each linked to its source. Free to read, in full, without an account. Page 3 of 77.
“Mr Speaker, Coordinating Minister for National Security K Shanmugam, Senior Minister of State for Finance Jeffrey Siow and I will deliver a Ministerial Statement each on the impact of the Middle East situation on Singapore. Our Ministerial Statements will address Parliamentary Question Nos 1 to 62 in today's Order Paper, as well as written Parliamentary Question Nos 1 to 12, and related Parliamentary Questions (PQs) filed for subsequent Sittings. May I have your permission to take clarification at the end of the three Statements? And as this is a whole-of-Government approach, may I also seek your permission to allow relevant political officeholders to respond to clarifications pertaining to their respective areas of responsibilities?”
“Mr Speaker, as I will be delivering a Ministerial Statement together with my colleagues later on, may I have your permission to take Question Nos 1 to 62 in my Ministerial Statement.”
“The Singapore Economic Resilience Taskforce (SERT) was established in April 2025 to strengthen our collective sensemaking of changes in the macro environment and support businesses and workers in navigating global economic uncertainties. SERT works with our tripartite and industry partners to gather feedback on how businesses and workers are affected. For instance, SERT convened last week to discuss the tariff developments and preliminary sentiments of businesses and workers. In addition, the Government closely tracks economic indicators, such as gross domestic product, and sectoral value-added growth, domestic exports growth, unemployment rates, retrenchments, as well as firms' hiring and wage expectations. The Government's approach to strengthening resilience of our trade-exposed sectors is to, firstly, help our firms diversify the markets that they serve. Secondly, deepen our trade and investment linkages with like-minded partners, such as cooperation in growth areas, like the digital and green economies, as well as in supply chain resilience. And thirdly, to continue working with partners to uphold and shape the rules-based international trading system. To support our business and workers who are directly affected by sudden tariff measures, SERT launched the Business Adaptation Grant in October 2025 to help eligible enterprises adapt their business operations and strengthen supply chain resilience, with support levels at 50%. At Budget 2026, the Prime Minister and Minister for Finance announced that support levels would be enhanced up to 70%.”
“This gives them greater flexibility in structuring loan facilities to better meet their needs. For some businesses, the viable path may involve restructuring their operations or, where necessary, scaling down or exiting specific products, services or parts of their operations. While such adjustments are a normal and necessary part of economic renewal, we recognise that the process can be difficult and painful. The Government will work closely with Trade Associations and Chambers, enterprises and the labour movement to support our businesses through these transitions. This includes helping them assess their options early, restructure responsibly and pursue new growth opportunities while supporting workers throughout the process.”
“The Government recognises that businesses continue to face cost pressures and operating challenges. To support our businesses, the Government introduced a Corporate Income Tax (CIT) rebate for Year of Assessment (YA) 2024 and YA2025. At Budget 2026, the Government has also announced a 40% CIT rebate for YA2026, capped at $30,000, with a minimum benefit of $1,500 for active companies with at least one local employee. We also support our heartland merchants through Community Development Council (CDC) Vouchers and SG60 Vouchers programmes, which have helped to boost sales and footfall for participating businesses. Over the last four years, more than $2 billion in Vouchers has been spent at participating heartland merchants and hawkers. Beyond receiving support to overcome short-term pressures, businesses must continue to invest in their long-term viability and competitiveness. Businesses can tap on business grants, such as the Enterprise Development Grant or the Productivity Solutions Grant to embark on transformation or enhance their productivity. Businesses can also tap on the Market Readiness Assistance grant to help small and medium enterprises (SMEs) venture into overseas markets and seize new opportunities. At the Ministry of Trade and Industry's (MTI's) Committee of Supply 2026, the Government further introduced a series of enhancements to support our enterprises in their growth journey. This includes enhancing the support levels of our internationalisation schemes from 50% to 70% for SMEs, and from 30% to 50% for non-SMEs, to support our enterprises in capturing new opportunities in overseas markets. Businesses can also access higher loan limits under the Enterprise Financing Scheme (EFS)-Trade Loan and EFS-Fixed Assets Loan.”
“In Singapore, SGQR is a scheme that consolidates multiple payment schemes into a single QR label, so merchants need not display multiple QR codes from different schemes. With SGQR, merchants and consumers can choose their preferred payment service providers and schemes. Consumers can pay using their preferred payment app among the merchant's accepted options. SGQR allows for competition among payment service providers. Merchants and consumers benefit from competition and choice. Making all payment schemes interoperable with each other will reduce competition and affect the services and costs to merchants and consumers. There are other ways to enable consumers to access a wider network of merchants. For example, NETS, which operates one of Singapore's largest networks, has partnered other payment schemes to accept payments from users of those schemes. Customers of 14 payment providers can already make payments to NETS merchants seamlessly using their preferred app. Users of seven international schemes, such as DuitNow, PromptPay and QRIS, can also make cross-border payments conveniently to NETS merchants. The Monetary Authority of Singapore will look for further opportunities and options to improve the payment experience to consumers and merchants, including supporting commercial interoperability arrangements.”
“Timor-Leste is in the early stages of implementing the Roadmap for Timor-Leste's Full Membership in ASEAN, following its accession to ASEAN on 26 October 2025. It is undertaking the necessary domestic reforms towards a more accessible, transparent and predictable economic environment. While it is premature to identify specific commercial and sectoral opportunities for Singapore companies in the country, Enterprise Singapore will extend facilitation support to companies with interest to set up or expand in Timor-Leste. Small- and medium-sized enterprises looking to expand their operations overseas, including in Timor-Leste, can access Government schemes, such as the Market Readiness Assistance and Enterprise Financing Scheme.”
“About 80% of A*STAR scholarship graduates are employed in roles which leverage their doctoral expertise. These include roles in both academia and industry. The remaining 20% have pivoted to a variety of other roles for reasons not necessarily due to deprioritisation of their research fields. These roles include corporate leadership and management positions across various sectors. It reflects how A*STAR scholars have gained knowledge and competencies that are transferable beyond the research ecosystem. Where redeployment is required, A*STAR facilitates transfers within A*STAR as well as secondments or transfers to the Institutes of Higher Learning and the private sector.”
“A total of 261 green, social, sustainability and sustainability-linked loans, worth S$137.3 billion, were taken up by Singapore companies between 2020 and 20241. The Monetary Authority of Singapore does not have a breakdown based on the size of borrower, including small- and medium-sized enterprises.”
“I refer the Member to the Monetary Authority of Singapore's response1 to Mr Saktiandi Supaat on the economic and social contributions of Single Family Offices for the Parliament Sitting on 24 September 2025. [Please refer to "Tracking Economic and Social Contributions of Single Family Offices from 2020 to 2024 and Plans to Attract SFOs", Official Report, 24 September 2025, Vol 96, Issue 4, Written Answers to Questions section.]”
“The $0.62 billion projected reduction in the Ministry of Trade and Industry's development expenditure for financial year 2025 was not due to a reduction in the support level of the Enterprise Development Grant (EDG), which has not changed since April 2023. Instead, it mainly reflects adjustments in development expenditure across MTI and its agencies, as some larger investment projects required more time than anticipated for review. Disbursements will therefore be made in 2026 instead. The Government is fully committed to supporting our enterprises to grow and transform amid the uncertain and volatile economic environment. At Budget 2026, the Prime Minister and Minister for Finance announced enhancements to the support levels for internationalisation grant schemes. Local SMEs will receive support of up to 70% of eligible costs, up from the previous 50%, while local non-SMEs will receive support of up to 50% of eligible costs, up from 30%.”
“We have no plans to do so. Based on international statistical standards and the practice of major national statistical agencies, capital gains are not considered a component of household market income. This is because they are typically irregular and reflect changes in asset values as opposed to being recurring income that is available for current consumption.”
“Our producers primarily import intermediate or final products containing critical minerals rather than its raw form. Industries that use intermediate products containing critical minerals include semiconductors, artificial intelligence, medical technology as well as batteries and energy storage. While our producers have not raised immediate concerns, we are closely monitoring developments regarding the supply of critical minerals. More broadly, we adopt a multi-pronged approach to strengthen supply chain resilience. This includes upholding and shaping the rules-based international trading system to facilitate flows, deepening partnerships with trusted partners and encouraging our firms to diversify their sources. Where necessary and economically viable, local production capabilities may also be considered, taking into account competing national priorities and resource constraints. These projects would also need to comply with Singapore's environmental and safety regulatory frameworks. Singapore is also a hub for the trading of critical minerals in Asia. Global companies set up trading operations in Singapore to tap on our trade financing, shipping services, deep talent pool and to transact with other parties. We continue to work with these companies to grow their presence in Singapore and to strengthen our trading ecosystems.”
“For instance, A*STAR’s collaboration with Rolls-Royce and Singapore Aero Engine Services Pte Ltd (SAESL) has yielded 18 breakthrough technologies that improve fan blade manufacturing and repair, with eight local SMEs added to Rolls-Royce and SAESL's approved vendor list. A*STAR’s joint lab with local enterprise Mencast Marine has also helped the company to shift from labour-intensive sand casting to advanced wire arc additive manufacturing and hybrid technologies, enabling up to 30% increase in productivity in propeller manufacturing. Overall, A*STAR has undertaken more than 2,400 projects with 925 local enterprises over the past five years. SMEs continue to be supported through initiatives, such as the Technology for Enterprise Capability Upgrading (T-Up) Programme, equipping them with technical expertise that facilitates talent development and enterprise transformation. Our evaluation studies show that these enterprises saw 44% higher revenue and 22% higher total employment than non-participating firms on average within three years of starting the T-Up project. In Research, Innovation and Enterprise 2030, A*STAR will sharpen its focus on sectors where it has strong capabilities and clear industry demand. This seeks to strengthen industry pull-through and increase the likelihood of research investments translating into tangible economic outcomes.”
“A*STAR is currently ranked 21st amongst global Government institutions in the Nature Index, with 28% of its publications being among the world's top 10% cited papers. It has achieved globally recognised scientific breakthroughs in multiple fields. For example, in semiconductors, A*STAR has developed one of the world's fastest modulators and photodetectors. This enables electrical and optical signals to be converted interchangeably at a high speed of 400 billion times a second per channel, paving the pathway towards multiple-fold improvements in energy efficiency for data transmission. Over the past five years, A*STAR technologies have catalysed the creation of more than 70 new companies, hiring more than 900 employees. Several have achieved good traction with international customers and investors, including Curiox, Mirxes and MetaOptics, which have completed successful public listings. Mirxes, for example, launched the world's first molecular blood test for early gastric cancer detection and co-developed with A*STAR the Fortitude test kit, which was supplied to over 40 countries worldwide. Today, Mirxes operates in over eight countries, with Singapore as its largest operation, serving as an integrated hub for research and development, industry 4.0 manufacturing, clinical testing laboratories and data/AI capabilities. About 60% of its global staff are here in Singapore and are largely Singaporean or Singapore PRs. Besides creating value through spinoffs, A*STAR has entered into collaborations with both local and multinational companies to enable them to move up the value chain of industries and activities.”
“My response will also cover the question for written answer raised by Mr Victor Lye for the Sitting on or after 4 March1. The card revenue earned by Singapore banks is disclosed in their annual financial statements. Over the past four years, card revenue, of which a portion comprises interchange, network and co-branding fees, has averaged around 3% of total revenue, reflecting banks' diversified revenue streams. The Monetary Authority of Singapore's (MAS') approach is to encourage competition in our payment services industry to foster innovation. Merchants are able to choose from a good range of digital payment solutions with different costs. International card schemes are generally higher cost, which can vary from merchant to merchant, while domestic payment schemes, like NETS Electronic Funds Transfer at Point of Sale (EFTPOS), PayNow and the Singapore Quick Response Code, are significantly lower in costs.”
“For an electricity import project to commence operations, the project developer would need to: (a) secure regulatory approvals from relevant jurisdictions; (b) conclude power purchase agreements with buyers; and (c) secure sufficient financing. The project must also reach development milestones, such as the completion of subsea surveys and fulfil the Energy Market Authority's (EMA's) technical requirements, to be considered for an Importer Licence. If the developer can meet these milestones and requirements within the next one to two years, they could begin commercial operations by the end of this decade. EMA will continue to engage all companies with credible proposals that can contribute to Singapore's decarbonisation. Beyond electricity imports, the Government is pursuing other pathways to decarbonise. We are maximising domestic solar deployment and actively building our capabilities to assess the potential of low-carbon energy sources, such as hydrogen, advanced geothermal and nuclear energy. There are also other ongoing efforts beyond decarbonising our energy mix, including sourcing high quality carbon credits and encouraging energy efficiency measures. As part of our strategy to meet a projected increase in electricity demand in the future, we have also invested in building a second Liquefied Natural Gas terminal, which will be ready by 2030.”
“Lease agreements are private contractual arrangements between landlords and tenants. The Government does not have data on the prevalence of commercial landlords imposing surcharges on utilities passed on to tenants. The Code of Conduct for Leasing of Retail Premises in Singapore, administered by the Fair Tenancy Industry Committee (FTIC), requires commercial landlords to pass through electricity costs without mark-up or price discrimination. The FTIC has not received any feedback of landlords imposing surcharges on other utilities, such as water and gas. If the Member has encountered such cases, he may wish to share the details with us for our follow up with the FTIC. Businesses may also provide their feedback directly to the FTIC online at https://www.ftic.org.sg/enquiry-form/.”
“The Government works closely with the Consumers Association of Singapore (CASE) to promote fair trading practices and help consumers make informed purchasing decisions, including those that involve prepayment. Under the Consumer Protection (Fair Trading) Act 2003, it is an unfair practice for a supplier to exert undue pressure on a consumer to enter into a transaction, or to accept payment for goods or services when the supplier knows it is unable to provide the goods or services. The Government has also worked with CASE to develop industry-specific CaseTrust accreditation schemes. In the beauty industry, consumers of CaseTrust-accredited businesses can claim a refund of the unused portion of their prepayments if the accredited business closes, under the scheme's mandatory prepayment protection insurance. In March 2025, the Government took the further step of convening an independent Consumer Protection Review Panel to review key consumer concerns, including the adequacy of existing protections for high-value package purchases. The Panel is expected to share its findings and recommendations later this year.”
“The establishment of the SME PEO as an office under Enterprise Singapore provides dedicated resources and efforts to engage the industries more extensively and better assist SMEs in resolving regulatory feedback. In addition, it works closely with the respective agencies and follows through with them on the reviews of their regulatory policies and processes to reduce compliance burden. This complements the work of the PEP, in advancing the regulatory agenda of the Government in a concerted manner.”
“The Pro-Enterprise Panel (PEP) is a public-private panel chaired by the Head of Civil Service, comprising both senior public officers and business leaders representing different sectors and profiles of firms. Formed in 2000, the PEP provides a platform for the Government and industry to discuss and review how rules and regulations can be improved to be more pro-enterprise. The membership of the panel is also updated regularly, so that Government agencies can leverage the private sector members' perspectives on wider Government regulatory reviews and seek their advice. On the other hand, the small- and medium-sized enterprise (SME) Pro-Enterprise Office (SME PEO) was set up in March 2025 as a central coordination unit within the Government to strengthen regulatory responsiveness for SMEs and to complement the strategic work of the PEP. It helps SMEs resolve specific regulatory issues, particularly those that cut across multiple public agencies or arise from new and emerging sectors. The SME PEO manages case feedback, implements service standards and monitors resolution outcomes of regulatory feedback and reviews across agencies. Since its launch, the SME PEO has engaged over 170 business leaders across 15 sectors to gather and act on feedback on regulatory pain points. It has reviewed more than 300 pieces of feedback and successfully addressed over 65% of the issues raised. For example, following the SME PEO's facilitation, Urban Redevelopment Authority and Singapore Land Authority streamlined their processes and halved the time required for developers to obtain approvals for private residential show-flat sites.”
“This question has been answered in Minister Chee Hong Tat's reply1 to Mr Louis Chua's Committee of Supply cut on 26 February 2026. [Please refer to "Committee of Supply – Head U (Prime Minister's Office)", Official Report, 26 February 2026, Vol 96, Issue 20, Budget section.]”
“Based on resident households in the fifth income decile, average household market income per household member rose by $287 in 2025, of which $183 was from an increase in employment income while the remaining $104 was from an increase in non-employment income. Data on the average rental and investment income per household member among resident households by income deciles can be found in Table 1.”
“The Economic Development Board administers incentives to support companies undertaking substantive economic activities in Singapore. The incentive is awarded to the Singapore entity that will be carrying out the project and legally binds it to specified economic commitments. The award includes clawback provisions when commitments are not met. Personnel changes do not affect the company's legal obligations under the incentive award.”
“In the next five years, the National Space Agency of Singapore (NSAS) will develop space technology capabilities to support national needs, such as in urban planning and port operations. NSAS will collaborate with the research ecosystem and support Singapore companies to capture opportunities in the growing space economy including in advanced Earth observation and communications satellite technologies, geospatial applications and in emerging areas, such as sustainability-related technologies. NSAS will also build space situational awareness capabilities to ensure safety of Singapore's space assets and formulate our national space legislation and policies.”
“The Pulau Ubin microgrid serves more than 30 residential and business consumers with a total annual consumption of around 300 megawatt hours and features an experimental vanadium flow battery energy storage system. In 2025, solar energy supplied about 10% of electricity demand while diesel generation met the remaining 90% of demand. We expect solar utilisation to increase when an upgraded battery energy storage system is commissioned later this year. In 2025, there were 13 power supply trips. The microgrid operator, EDP (Energias de Portugal) Renewables (EDPR), is working to upgrade the system to enhance overall system reliability. The microgrid users affected by power supply trips may make representations to EDPR for compensation. EDPR has compensated all users who were previously affected by power supply trips.”
“Under SERT, for example, we rolled out the Business Adaptation Grant (BizAdapt) and also rolled out GRIT as an internship programme to help support workers to do the transition. So, I think, as we go along, we will make assessments. As and when necessary, we will roll out new initiatives to support businesses in this transition.”
“Mr Chairman, I will keep it short. First, I think one of the ways to deepen our leadership and to strengthen our depth is to develop leadership in our MNCs, in our companies, in our sectors where we already have a strong foundation, like semiconductors, pharmaceuticals and so on. These are the areas that we already have a strength. We want to not just be one of the operators in the world, but we want to become a key node. And by doing so, we also want to attract key operation functions here, including R&D. So, instead of doing R&D elsewhere, we want to encourage them to bring the R&D facilities here, build the R&D capabilities in Singapore. This will then help them shorten the process of bringing innovation to the market. So, I think this is one way that we are doing so. Dr Tan has also mentioned about our initiatives in R&D, our investments in R&D and the translational research to facilitate the translation of knowledge into commercial products and services. So, these are the various efforts we are doing. We are also using AI to help us to see how we can facilitate and speed up the process of innovation. So, I think many companies are already introducing AI capabilities in the R&D process to allow them to do so. I just want to make a very quick response to Mr Saktiandi Supaat's question earlier. I think he asked what are the triggers for the Government to start to respond to many of these scenarios. I just want to say that there is no single trigger. We will need to take into account holistically all the impact and make assessments as we go along. As and when, if necessary, we will roll out initiatives to respond to these scenarios.”
“Some of these we will not be able to share because they are confidential and security related, some of it I think Minister Tan has explained earlier. I will ask him to elaborate if necessary. On the development expenditure, I will leave Minister Tan to talk about the energy expenditure for development. But our development expenditure has a significant increase partly, because of the need to continue to attract investments. As many of you are aware, with the introduction of the minimum tax, tax incentive is now less effective and therefore, we will need to look at other ways of anchoring key investments into Singapore. And this development expenditure is part of it. It is designated to allow us to be able to attract investments to come to Singapore to continue to provide good jobs. I will hand it over to Dr Tan. 2.45 pm”
“We have to continue to develop our trading network and we want to strengthen our resilience in our trading arrangement. That is why we continue to negotiate trading agreements in different forms, including digital agreements. So, that is how we strengthen our resilience in terms of our defence against the tariffs. On investment in AI, this is something that we are embarking on and we hope to be able to attract both talent and investments, as well as solution providers. They are able to come to Singapore and create this ecosystem among AI operators, AI stakeholders. That is why we are now expanding our Lorong AI into a Kampong AI, so we have a bigger capacity, and we can bring together both working and living environment so that it is an entire ecosystem. And hopefully this will generate a momentum on its own and continue to attract more investments into AI. On the Middle East crisis, this just happened over the weekend. We are still assessing the situation. What we need to bear in mind is that the Strait of Hormuz is a key shipping route for energy, for LNG, for oil. And therefore, it is important as a supply channel for the world's energy needs. Singapore also depends significantly on supplies from the Middle East, in addition to our supplies in this region. So, it is something that we will continue to assess. We do expect that if the conflict in the Middle East is protracted, I think it will have a significant impact on the overall energy cost. Singapore over the last few years, as Minister Tan has explained, has built up our resilience. We have built in as several measures to strengthen our resilience against potential external shocks in energy supply.”
“Thank you. First, let me address the issue on our outlook for our economy and inflation as a result of the various scenarios that Mr Saktiandi has pointed out. First on tariffs. I mentioned and explained several times before. I think tariffs have a significant impact on Singapore, not just the direct tariff between Singapore and the US. That is important. But what is even more important is the environment under which we are now operating, where tariffs can be adjusted at will, and with very short notice, overnight. As you have seen, the tariffs have been shifted from one legislation to another under the US. And also, we have to take into account the reactions from the various countries in response to these tariffs, which have an impact on us. Sometimes, when the tariffs go up, it slows down the economy. When tariffs come down, it stimulates the economy. And as a result of tariffs going up, some economies may decide to front-load their exports, so they ramp up their manufacturing, they ramp up their exports and as a result of them ramping up their exports, they may then import more components from Singapore, and we supply components to them. So, it is a very complicated web of trading arrangements among countries, and we depend on a rules-based, open trading system. Singapore is an open economy. So, we really will benefit from the global economic growth. If global tariffs are lower, then it will stimulate more economic activities and trade will flourish, and Singapore will benefit from it. For tariffs, from Singapore's point of view, a lower tariff is better for us, because then it facilitates freer and more open trading activities, and that will benefit open economies, like Singapore. I think this is something that we always have to plan for.”
“In addition to growing their revenue and profits from overseas, these companies will bring value back to Singapore through better jobs, stronger demand for local capabilities and deeper integration into global growth opportunities. I agree with Ms Elysa Chen and Mr Victor Lye on the importance of supporting and preparing our entrepreneurs and workers embarking on internationalisation. The Ministry of Manpower will share more on this. We will also safeguard and expand our international economic space. Minister of State Ms Gan Siow Hwang will elaborate more on our plans to deepen and diversify our economic links with our trading partners. Mr Chairman, the global environment will remain uncertain. The road ahead will not be easy. But Singapore has succeeded so far not by waiting for certainty, but by planning long term, acting early and moving ahead decisively. The ESR has outlined our strategy going forward. Our five strategic thrusts build on our strengths, embrace new opportunities, harness technology, keep Singapore open and connected and support our people through change, every step of the way. We will ensure growth must translate into good jobs for Singaporeans. Above all, our strategy is to give workers the confidence to adapt, businesses the ability to compete and every Singaporean a share in our progress and a stake in our future. If we continue to stay united, remain agile and nimble and keep investing in our people, Singapore will not just navigate change – we will shape it. [Applause.]”
“Business models that once worked well may no longer be viable under the current and future environment. In response, firms may need to pursue different pathways, transforming their business models, restructuring their operations or, where necessary, scale down or even exit specific products, services or parts of their operations. 1.15 pm Our next thrust is therefore to support our businesses to proactively and confidently navigate these transitions. Such adjustments are a normal and necessary part of economic renewal. But we recognise that the process can be difficult, challenging and sometimes, painful. We will work closely with trade associations and chambers, enterprises and the Labour Movement to support firms as they go through these transitions, helping them assess their options early, restructure responsibly, pursue new growth opportunities, including exploring overseas markets and manage change in a way that strengthens long-term competitiveness and supports workers through the transition. I agree with Mr Shawn Loh that with our small domestic economy, many growth opportunities lie beyond Singapore's shores. We want to help our companies to not only export their products and services, but also to expand and invest internationally. This will allow them to benefit from the growth of the global economy, while anchoring value, capabilities and leadership functions here in Singapore. We will step up support for leading companies pursuing significant overseas ventures that may involve higher risks and capital outlay, especially in developing and emerging markets, but which give them a real and lasting foothold in key markets and value chains.”
“We will drive AI transformation at the sector level through AI Missions, starting with advanced manufacturing, connectivity, finance and healthcare – sectors where Singapore already has strong foundations. For each Mission, we will work with the industry to define sharp, sector-specific problem statements in areas where AI can drive breakthrough transformations. Around each Mission, we will build full-stack ecosystems, including datasets, computing resources, regulatory sandboxes and solution providers. This will shorten the path from development to deployment and from testing to scale. These Missions will generate demand for new skills, creating clusters of expertise anchored in Singapore. AI Missions serve as rallying flags to attract global AI talent and companies focused on real-world applications, mobilise whole-of-nation efforts across the Government and industry, and concentrate investments and enablers for greater impact. We will also establish an AI Park as a focal point where talent, problem owners, researchers and resources can come together to create synergy and nurture a deep ecosystem. We already have Lorong AI; and we will now also build an entire "Kampong" – Kampong AI at One-North. "Kampong AI" will accelerate collaboration and serve as a centre of gravity for AI excellence. These efforts – "Champions of AI", AI Missions and "Kampong AI" – will position Singapore as a place where AI solutions are built, proven and scaled, empowering firms across the economy and establishing AI leadership in key sectors. Even as we grow our economy, our competitiveness will depend not only on innovation, but also on the ability of our businesses to adapt, reposition and transform. Firms will increasingly face the need to relook at how they operate.”
“For instance, through personalised AI-driven nudges, DBS guides retail customers to make better investment and financial decisions. These customers saved twice as much, invested five times more and had nearly three times higher insurance coverage than those who did not. In risk management, AI analyses millions of transactions daily to detect unusual patterns and intercept suspicious activity in real-time to better protect its customers. DBS has also deployed AI in institutional banking, reducing processing times for trade documentation by 60%. This helps businesses move faster, with greater certainty, especially in cross-border transactions. DBS is equipping all 40,000 of its employees with foundational understanding and practical exposure to AI. It is also reskilling employees into new job roles that are being created through the integration of AI – for example, from customer service officers into AI agent monitoring managers and GenAI evaluators. AI has also provided some employees with the opportunity to move into new career pathways – for instance, from customer service roles into relationship management roles. DBS' journey demonstrates how companies can deploy AI to enhance business value while strengthening their workforce. In 2025, DBS reported that economic value from its data analytics, AI and Machine Learning initiatives achieved a record of approximately $1 billion. AI champions are pathfinders. We will learn from their experiences, show the way forward and give other firms the confidence to move faster and deeper in their own AI journeys. We also want to be an AI leader in the development, testing, deployment and scaling of AI.”
“By sustaining dynamic and vibrant enterprise ecosystems, we will reinforce Singapore's position as a trusted and connected base for global business and ensure that our economy remains at the forefront of innovation and growth. For our enterprises to raise productivity, upgrade capabilities and scale innovation faster than before, AI is the critical enabler. Our third thrust is therefore to establish Singapore as an AI leader, as well as an AI-empowered economy. We want to empower our companies to harness AI end-to-end, by redesigning business processes, embedding AI into core operations, developing proprietary applications, transforming workflows and upgrading jobs and skills. To date, we have supported over 60 companies to establish AI Centres of Excellence. These are in-house teams focussed on developing and deploying AI solutions. We will take this further by launching a "Champions of AI" programme later this year. Under this programme, we will target a select group of Singapore-based companies with the ambition and commitment to make AI a core driver of productivity, innovation and growth. We will partner these companies to transform their businesses, by embedding AI across core operations, organisational processes and workforce practices. This includes leadership and workforce training, as well as support to develop and execute AI transformation projects with clear and measurable business impact. These companies will also invest in retraining and upskilling their employees, enabling their workers to take on high-value AI-enabled job roles. Let me give DBS as an example. AI has been embedded throughout the bank's operations, from customer engagement to risk management and operational efficiency.”
“Workato's Asia Pacific revenue has increased 10-fold over the past five years, with a customer base of more than 12,000 companies across sectors, such as manufacturing, financial services and healthcare. Singapore can serve as a strategic base for Workato's global expansion, anchoring product development, AI innovation and regional leadership here, while creating high-value opportunities for Singaporeans and strengthening our talent pipeline. I agree with Assoc Prof Kenneth Goh that anchoring and partnering companies, like Workato, in Singapore at an early stage of their growth is important as it would allow us to shape where strategic HQ decisions are made, where core capabilities are built and where long-term value is created. As these companies grow from Singapore, they will create new roles here in areas, such as R&D, product management, marketing and business development. EDB will step up efforts to identify and anchor such companies, working closely with leading venture capital and private equity partners. We will provide bespoke, end-to-end support, such as market access assistance, regulatory facilitation and access to ready-to-use facilities, to help these companies anchor in Singapore and grow their presence here. Done well, this will allow us to capture long-term economic value, strengthen our pipeline of leading enterprises and reinforce Singapore's position as a trusted base for globally leading companies to be here and to scale. We will not just be a landing pad, but also a launching pad for potential global companies. Alongside this, we will continue to sustain the vibrancy of our start-up community and foster an entrepreneurial culture where people dare to dream and take risks. Minister of State Alvin Tan will share more on our plans for our startups.”
“This will create new opportunities in modern services. Even as we deepen our existing strengths in advanced manufacturing and modern services, we must also push the frontier into new areas of growth, such as quantum, decarbonisation technologies and space-related industries. As these industries grow, they will open up new career opportunities for Singaporeans. Taken together, these will deepen what we already do well in advanced manufacturing and modern services, while creating new engines and expand Singapore's growth frontier, and secure high-quality jobs for Singaporeans. Second, we must sustain a dynamic and vibrant enterprise ecosystem, spanning multinational corporations, high-growth companies and a vibrant start-up community. Leading MNCs, both local and foreign, will continue to be a core pillar of our economy. They bring scale, advanced technologies, global networks and high-quality jobs. We will continue to work with MNCs to anchor high-value activities here, including R&D, advanced manufacturing, regional and global headquarters functions, and strategic roles. At the same time, the next phase of growth will increasingly come from a new generation of emerging enterprises – growth-stage companies that have yet to establish themselves as a leading MNC but have demonstrated both the potential and ambition to become future industry leaders. We must be prepared to take some risks to support such promising enterprises by providing them with a trusted base to operate from, and scale to international markets. One such company is Workato, an enterprise software firm that helps businesses automate workflows and integrate systems across their operations.”
“Mr Saktiandi Supaat asked about our plans for the advanced manufacturing, trust-based services and frontier sectors. Singapore is already a global node in advanced manufacturing sectors, such as semiconductors, medical products, specialty chemicals and aerospace, which contribute significantly to our economy and provide good jobs. We want to secure and extend our leadership in these sectors – we will step up investments in AI, automation and digital technologies to raise productivity, improve quality and reliability, and become more flexible and resilient. As factories become more automated and data-driven, demand will grow for skilled jobs, such as automation and robotics engineers, process engineers, data specialists and advanced equipment technicians, that command higher wages. We will also focus research and development (R&D) resources to sharpen our technological edge, shorten innovation cycles and help firms move ideas faster – from the lab to the factory floor and into the market. In parallel, we will accelerate the adoption of low-carbon and resource-efficient technologies, so that our industries remain competitive as the world transitions to a low-carbon future. By reinforcing these strengths, we will build deep, competitive ecosystems that anchor high-value activities here and support good, skilled jobs for Singaporeans. Beyond manufacturing, we are also extending our lead in modern services. In this volatile and uncertain world, trust has become the most sought-after asset. Our trust premium has enabled us to establish ourselves as a global hub for finance, capital and IP. We will build on this to develop Singapore as a global hub for trust-based services, such as risk advisory, cybersecurity, AI assurance and Testing, Inspection and Certification.”
“Depending on how protracted the conflict is, higher energy prices could lead to higher costs for businesses and consumers and weigh on the global and Singapore economies. We are monitoring the developments closely and will reassess our GDP and inflation forecasts if necessary. Major structural forces are also reshaping industries, businesses and jobs. AI and automation are transforming how value is created and how work is organised. The global push to decarbonisation is also changing industrial processes, influencing investment patterns and impacting relative competitiveness. Together with our demographic constraints that I spoke about last week, sustaining growth and creating good jobs will become more challenging. Yet even in this more difficult environment, there are good opportunities for Singapore as a trusted, knowledge-driven and connected hub. 1.00 pm This is why the Government set up the Economic Strategy Review (ESR) to take a hard, honest look at how Singapore must reset our economic strategy. We will have to work harder and smarter, be creative and take calculated risks, and explore bold solutions to reach the higher end of our GDP trend-growth of 2% to 3% per annum, on average, over the next decade and create good jobs. Let me outline broadly five strategic thrusts and my colleagues in MTI will elaborate later. First, we will establish and deepen our leadership in key growth sectors, while pushing the frontier into new areas of growth. As our economy matures, growth and good jobs can no longer come from scale alone. Growth must increasingly come from depth – by establishing and deepening global leadership in sectors where Singapore already has strong foundations.”
“Mr Chairman, let me thank all Members who have spoken on MTI's COS. Last year, Singapore's economy grew by 5%, performing better than expected despite a challenging global environment. At the same time, we must be clear-eyed. Singapore is entering a new phase in our economic journey. The rules that allowed Singapore to prosper for decades have fundamentally changed. We face a more complex global environment, marked by heightened great-power competition, rising protectionism and a more fragmented global order. The United States (US) Supreme Court has struck down the reciprocal tariffs that were imposed last year and the US Administration has since replaced it with a new Section 122 tariff of 10% for up to 150 days. President Trump has also announced that he intends to raise it to 15%. The details are not there yet. There is still considerable uncertainty about how the tariff will evolve over time. We are working with the Singapore Economic Resilience Taskforce (SERT) tripartite members to provide information to and gather feedback from businesses and workers to help them navigate these uncertainties. These developments exemplify the unpredictable and uncertain global trading environment that we must now navigate. That is not all. Over the weekend, the conflict in the Middle East escalated, with the US and Israel launching an attack on Iran, and Iran retaliating by counterattacking Israel and US' bases in the region. The Strait of Hormuz, which is a key shipping route for crude oil and liquefied natural gas (LNG), has been closed. In the near term, this could result in an increase in global energy prices.”
“For the 2022 to 2025 editions of the Formula One Singapore Grand Prix, an average of $30 million of cess has been collected. The annual cost of organising the race for the same period of time is estimated at $140m1. Since its inception in 2008 until 2024, the race generated more than $2.2 billion in incremental tourism receipts. The Government does not assess individual tourism events for their contribution to national gross domsestic product.”
“Our producers primarily import intermediate or final products containing rare earth rather than its raw form. While they have not raised immediate concerns, we are monitoring developments regarding the supply of rare earths. More broadly, we adopt a multi-pronged approach to strengthen Singapore's supply chain resilience. This includes supporting a rules-based international trading system, deepening bilateral partnerships with trusted partners and encouraging our essential firms to diversify their sources of critical supplies. Where necessary and economically viable, local production capabilities may also be considered, taking into account competing national priorities and resource constraints We would welcome interest from industry to undertake rare earth-related projects in Singapore. Like all heavy industrial activities with environmental impacts including radioactive waste generation, these projects would need to comply with Singapore’s environmental and safety regulatory frameworks. These include requirements stipulated in the Radiation Protection Act (RPA) and Environmental Protection and Management Act (EPMA). For instance, the RPA ensures workers are protected from radiation exposure and that radioactive waste is managed properly. Similarly, the EPMA requires businesses to abide by pollution control requirements.”
“The Monetary Authority of Singapore (MAS) monitors the incidences and methods of counterfeiting and assesses the robustness of the security features of our notes against these techniques. While new security features available are an improvement, we have assessed that the existing security features remain effective against prevailing counterfeiting techniques. MAS also tracks the counterfeit rate of Singapore currency notes, which is very low compared to those of key global currencies. We cannot be complacent and will be vigilant to counterfeiting risks, ensuring that our security features continue to be effective.”
“The Nuclear Energy Office (NEO) within the Energy Market Authority (EMA) was set up to build domestic capabilities to help Singapore make an informed decision on the feasibility of nuclear energy. This requires a diverse range of expertise beyond nuclear engineering. For example, expertise in areas, such as electrical, mechanical, civil and chemical engineering, as well as in data science and project financing. Currently, among the 26 officers in NEO, four have nuclear engineering degrees and another 16 have science and engineering degrees. All officers in NEO undertake specialised training, such as with the International Atomic Energy Agency. EMA also plans to have officers attached to overseas nuclear energy counterparts in the coming years. As Singapore continues to build up our capabilities in nuclear energy, EMA and other Government agencies will be looking to grow their teams further. We welcome more Singaporeans to join us in this endeavour.”
“It provides participating brands with premium retail exposure and cost savings through shared facilities and services. Additionally, heartland businesses, including local retailers, continue to be supported through the Community Development Council and SG60 vouchers. These vouchers have helped to boost sales and footfall for participating businesses. Over the last four years, $2.127 billion in Vouchers has been spent at participating heartland merchants and hawkers. The Government will continue to work with industry stakeholders and engage key trade associations, such as the Singapore Retailers Association, to support the growth and competitiveness of local retailers.”
“As an open economy, Singapore benefits from the presence of both local and foreign enterprises. A diverse mix of local and international retailers enhances consumer choice and contributes to a vibrant marketplace. The Competition and Consumer Commission of Singapore conducts market studies where necessary to identify concentration risks that may affect the efficient functioning of markets in Singapore. Currently, there is no indication of anti-competitive concerns in the local retail market. The Government's approach is to maintain an open and competitive retail market in Singapore, while supporting local retailers in strengthening their capabilities, innovating and offering differentiated products to remain competitive. Local retailers can tap on schemes, such as the Enterprise Development Grant and Productivity Solutions Grant, to enhance productivity and transform their businesses. Heartland businesses can utilise the Enhanced Visual Merchandising Programme to refresh their storefronts and sharpen their marketing positions. They may also approach the Heartland Enterprise Centre Singapore for business advisory services and training. The Government also provides targeted support to encourage local retailers to innovate and provide differentiated offerings. For example, the Retail Maverick Challenge, an initiative launched by Enterprise Singapore and CapitaLand Investment, supports local retailers in piloting innovative and experiential retail concepts. Another initiative is the Design Orchard Retail Singapore (DORS), managed by the Singapore Fashion Council with support from the Singapore Tourism Board and Enterprise Singapore. DORS is a one-stop retail showcase featuring over 80 local design brands.”
“As outlined at the mid-term update on the Economic Strategy Review, economic growth will be harder to achieve in a more challenging external environment. Moreover, technological change means we can no longer assume that growth will generate the same number of jobs as before. Despite a more economically fragmented and uncertain global environment, the Singapore Economic Development Board (EDB) secured in 2025, investment commitments comparable to recent years. The lower number of jobs committed in 2025 relative to 2024 reflects two factors. First, companies are more conservative in their hiring projections, given the challenging and uncertain environment. Second, many of the projects secured are more technology- and capital-intensive and therefore require relatively fewer workers, but each worker generates a higher value-add to the economy. Most of the 15,700 jobs committed over the next five years are for professional, manager, executive and technician roles, with two-thirds expected to command a gross monthly salary above S$5,000. We do not have a breakdown of the number of entry-level versus senior management roles. These investments also generate positive spillovers for the broader economy. A 2025 Ministry of Trade and Industry study published in the Economic Survey of Singapore found that firms that are linked to EDB-supported companies enjoyed higher value-added per worker, local employment and local wages.”
“The household income data on the Department of Statistics' website provides a breakdown of household market income for each income decile into major types of non-employment income. This includes investment income, rental income, payouts from the Central Provident Fund Retirement Sum Scheme and Lifelong Income for the Elderly as well as regular Government transfers. As other types of non-employment income are smaller and subject to larger sampling errors, they are not published separately.”
“Hydrogen is not viable as a substitute for natural gas for electricity production in the near term, due to its high costs of production and transportation. We will continue to monitor global hydrogen market developments, before making any decision to adopt hydrogen for electricity production.”