Budget 2021 will have more targeted schemes for those who still need help: Indranee Rajah

SINGAPORE - The upcoming Budget will have more targeted schemes aimed at segments of society and sectors of the economy which have not recovered as well, as the pandemic continues into its second year, said Second Minister for Finance Indranee Rajah on Saturday (Feb 6).

Ms Indranee, who is also Minister in the Prime Minister's Office and Second Minister for National Development, added that the strategy for Budget 2021 will be to make sure that resources are channelled to those who still need help, compared with the broad-based approach at the height of the crisis last year.

"So, some areas are doing well, they probably need less support, but some areas (like) aviation, tourism and so on, will still need some continued... support," she added.

"And then on the social side again, some people don't need as much support as others."

She was speaking to reporters after a visit to Kin@11, a programme space in York Hill under the Community Link (ComLink) initiative, which provides proactive and integrated support to an estimated 1,000 low-income families.

Her comments come as early signs point to a steady recovery for Singapore, with gross domestic product contracting by a smaller-than-forecasted 5.8 per cent last year, and unemployment rate dropping for two months in a row in November and December last year.

But the hardest-hit sectors such as aviation and tourism, for instance, are still in a slump and overall unemployment, at 3.2 per cent in December last year, is still higher than the 2.3 per cent recorded in the same month the year before.

Deputy Prime Minister and Minister for Finance Heng Swee Keat had said on Friday that a key priority for the Budget will be to continue to support workers and businesses, but that Singapore must press on with economic transformation.

Giving a broad overview of the Budget on Saturday, Ms Indranee said it will cover the immediate healthcare issues and vaccination roll-out, social support for the needy, economic transformation and sustainability.

"One of the things about Covid-19 is that it has forced us to rethink how we've been doing things. It has also provided an opportunity to reshape the future. And this Budget will be looking exactly at that. Not just tackling existing problems, (but) how to position for the future and how to grow," she added.

Ms Indranee also spoke about ComLink as a key strategic part of the Government's efforts to tackle inequality, adding that the initiative brings together government agencies and community partners to provide more comprehensive support to low-income families.

"There are many different partners; what we wanted to make sure was that there were no overlapping services, duplication, and then some people inadvertently left out," she said.

She added that the Government will be working more closely with the private sector, civil society and social service agencies going forward.

Mr Kelvin Chia, who oversees ComLink at Jalan Kukoh, said that since the programme space opened, many volunteer groups have come forward offering classes and services.

One such group was Readable. The organisation run by volunteers, which focuses on teaching children in the Jalan Kukoh area to read and count, now holds classes at the premises.

Ms Aprizen Yuliana, 37, an Indonsian married to a Singaporean, said her seven-year-old son and five-year-old daughter have benefited from the classes. Her son, who used to run away when asked to read, now enjoys storybooks and even got full marks for his spelling test, she said.

"I don't speak much English so I can't teach my own children. The Readable classes have really helped them. They are also more confident now and have more friends," she said, speaking in Bahasa Indonesia.

The assistant director of the Social Service Offices in Kreta Ayer and Bukit Merah said: "That's the way we want it to be, more people joining in this effort to see how we can support a community together."