Ask: NUS Economists

Measuring the impact of GST hike and driver subsidy

A In mid-February, Finance Minister Heng Swee Keat said the Government would raise the rate of GST from 7 per cent to 9 per cent within four years. How will this rise affect Singapore consumers?

Separately, last September, the Government announced that it would pay $300 monthly to 40,000 ride-hail and taxi drivers until last month. Why was that good news for Gojek and Grab?

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A version of this article appeared in the print edition of The Straits Times on April 22, 2021, with the headline 'Measuring the impact of GST hike and driver subsidy'. Subscribe