Companies will get help with their costs and cashflow so that they can stay 'strong and competitive', Finance Minister Tharman Shanmugaratnam said on Sunday.

And there will also be support for households who have been affected by job losses, he added.

Officiating at the opening of the Pioneers' Memorial Hall of the Ee Hoe Hean Club in Chinatown, Mr Tharman said that the emphasis on these groups will be one of three considerations guiding Budget 2009.

Another key consideration will be to use the Budget to support economic growth and job creation.

'With the economy rather than inflation being the key priority, the Budget should be expansionary,' said Mr Tharman, echoing comments made by Senior Minister Goh Chok Tong last week.

Though SM Goh did not elaborate either, economists interviewed have cited possible measures like tax cuts and resuming of public sector construction projects - 'pump priming' measures that would keep the wheels of the economy turning.

Mr Tharman also said that because the downturn is unlikely to be short-lived, the Government's Budget initiatives will be aimed at providing help over a few years, rather than provide 'a quick stimulus' to the economy.

But he also warned that the approach to helping Singaporeans should not change.

'The best way we can help is not through unconditional handouts, but by helping Singaporeans stay employed, and supporting everyone to get retrained and upgraded,' he said.

'By keeping to this approach, taking measures to help our businesses stay competitive and seize new opportunities, Singapore will emerge stronger and fitter from this crisis, and better prepared for the eventual upturn in the global economy,' he added.

Minister Mentor Lee Kuan Yew also touched on the economic crisis at a separate community event in Tanjong Pagar on Sunday, saying that Singapore's reserves can see the country through the crisis.

He added that by the next Budget, the Government will be ready to decide on assistance programmes for the low-income.

'After studying the situation carefully, we have to make a realistic estimate of how much we can afford in additional U-Save, Workfare and other alleviating measures,' Mr Lee said.

'Much depends on how long and deep this recession will be.'

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