Singapore revealed on Tuesday steps to support families and companies in its financial year 2025, as Lawrence Wong began fighting concerns about living in his first budget as prime minister.

Wong, who has previously connected Singapore’s budgets as a financial minister, said that measures follow the high global inflation after the Russian war, caramels, and turmoil in energy, food and supply chains.

He announced that every family will now get $ 800 Singapore ($ 596) in consumption vouchers over the year 2025, while all Singaporeans over 21 years old or 60 will receive $ 600 and $ 800 Singapore from 800 Singaporean vouchers in July, to celebrate the 60th year of independence in the country.

The 60 % discount of personal income tax for 2025 was announced, reaching $ 200 Singapore.

On the Business Front, Wong announced a 50 % discount for corporate income tax.

The qualified companies will get the minimum interest of $ 2000 Singapore even if they are not profitable, as long as they are active and employ at least one local person in 2024. This interest will be crowned with $ 40,000 Singapore for each company.

The government will also increase the joint financing levels of companies that raise the salaries of low wage workers.

While Wong said that these measures will help reduce the effect of high costs, but “the best way to adapt to high prices is to increase the economy and increase productivity, so that Singaporean can enjoy real real income and better living standards.”

Song Seng Wun, Economic Adviser at Singapore at CGS International, said the budget was more focused on the “most soft side” to enhance social policies, such as support plans for families and children.

“With regard to the construction of Singapore as a commercial center, it relates to the world for trade in goods and services, which has been done in general. Now it is really related to strengthening it to maintain its edge for everyone.”

Wong pledged to the Singapore era that it would take “bold and decisive measures to push the limits of our growth” amid intense competition, noting that he “we will leave behind” in a state of failure.

He pointed out that although the country’s economy expanded by more than 4 % in 2024, it will be difficult to achieve the level of growth on a continuous basis.

Wong added that if Singapore can secure 2 % to 3 % growth annually over the next decade, “we will be able to create better jobs and opportunities, and improve living levels for all Singaporeans.”

In light of this, the Prime Minister said, the government will expand support programs for companies that wish to globalization, as well as for integration and acquisitions.

Singapore will also offer a new fund for a billion Singapore dollar for a billion dollars to give companies more financing options, and Wong said the decision to the emergence of a special credit market that provides “innovative financing solutions to companies”.

Wong noted that companies may also want to include them on the stock exchange to reach more capital, because they are expanding.

This comes at a time when the Monetary Authority in Singapore has created a review group to enhance the attractiveness of the stock market in Singapore Once again in August 2024with The first group of measures -There are many recommendations related to tax-on February 13.

Wong said that before the recommendations, it will provide tax incentives for the funds in Singapore who choose the list in Singapore and develop their economic activities locally.

The tax incentives for fund managers will be granted to those who “invest heavily” in the capital market in Singapore, in order to encourage more investment in the capital markets in the country.

“The incentives of the SGX menu are large, but there are still challenges like market liquidity and evaluation. The impact also depends on other recommendations from the stock review set in Singapore.” .

The review group is expected to submit a update later on February 21.

By moving to technology, Wong said that institutions must now invest in technology, including artificial intelligence analyzes, in order to enhance their competitive and productive ability.

Then he announced that the government will allocate 150 million Singapore dollars for a new initiative to calculate institutions, as qualified institutions will be partnership with the main cloud services providers to more effectively reach artificial intelligence.

“By setting priority for developments in infrastructure, exploring new energy solutions, and climate flexibility, the 2025 budget is placed as a global center to create value,” Sangania said.

He added that Singapore’s focus on strengthening leadership in technology and sustainability “reaffirm the nation’s ambition to remain a pioneer in these critical areas.”

Wong said that the collection of revenue in Singapore was “better than expected” in the fiscal year 2024, mainly due to a rise in corporate income tax. And I expect that the seizures of corporate income tax will increase to 4.1 % of GDP in the fiscal year 2024, up from about 3.2 % in the past.

This is despite the high expenses, such as the medical savings in Singaporeans and the allocation of projects such as the fifth station of Changi International Airport.

Therefore, the government expects to end its fiscal year 2024, with a surplus of $ 6.4 billion, Singapore, or 0.9 % of GDP in Singapore. The fiscal year is expected to end 2025 with a surplus of $ 6.8 billion.

The song CGSI said that the financial surplus was “a little more” than it expected, noting that most analysts had expected the government to provide an expansion and deficit in the fiscal year 2025.

Under the Singapore Constitution, the administration must maintain a balanced budget in every government period and can only benefit from the previous reserves with presidential approval. The government is not allowed to borrow to finance its operating expenses.

Correction: This article has been updated to accurately reflect the amount of the expected budget surplus in the fiscal year 2025.