HUA HIN (THAILAND) - AMID the severity of the economic downturn, Singaporeans can take comfort in the decisive measures the Government has taken to help the economy, Prime Minister Lee Hsien Loong told Singapore media yesterday at the end of the Asean Summit in Thailand.

He felt it was vital to have a sense of balance: to 'acknowledge and be conscious of the severity of the problem', but not 'psych yourself into a funk, such that you are unable to get out of bed in the morning'.

His bottom line: 'Looking at the world, there is reason for worry. Looking at Singapore, what we can do, we have done to our utmost ability, and generally we have done the right things.'

Mr Lee's attempt at encouragement came against a backdrop of gloomy retrenchment forecasts, the latest from DBS Bank which put the figure at 99,000 layoffs for this year.

Referring to almost daily news of retrenchments, he said: 'After a while, even if you were not depressed, we become depressed.'

The Prime Minister noted, however, that Singapore was in a good position to weather the storm.

'We have the resources, we have done the right things, we have a good Budget,' he said, pointing to the wage bill subsidies and training programmes in the $20.5 billion Budget unveiled in January.

'I know people ask, why don't you help the households more directly. But the right way to help people is not to give vouchers or hongbao to spend, but to help them keep their jobs. So that is the emphasis of the Budget,' he said.

There are also major infrastructure projects under construction, like the integrated resorts at Marina Bay, which will stand Singapore in good stead when the global economy picks up, he noted.

'Every time I drive in Marina I will see whether there is another level that has come up. (It has) nearly reached the top now.'

Read the full story in Monday's edition of the Straits Times.