Prime Minister and Minister for Finance, Lawrence Wong, will delivered the Singapore Budget 2025 Statement in Parliament on Tuesday, 18 February 2025, 3.30pm. This was his first Budget as Prime Minister of Singapore.
We covered the Singapore Budget 2025, titled Onward Together For A Better Tomorrow, live – highlighting the major announcements and potential implications that some of the schemes may have for Singapore and Singaporeans.
This page will be updated periodically as the Budget 2025 statement is delivered.
A Few Minutes To Go Before Budget 2025 Speech Is Delivered
The Budget speech will go live at 3.30pm, and you can stay tuned to the live updates as Prime Minister and Finance Minister Lawrence Wong delivers it.
3.32pm
Prime Minister Lawrence Wong admits that he is a little under the weather, and will go ahead to deliver the speech.
2025 marks the 60th year since Singapore’s independence. The world was a very different place back when we were a fledgling nation, and faced very different challenges. But Singapore’s pioneers forged their path forward to build the nation.
Today, we face a new global contentions, fragmenting the current world. Once again, Singapore will have to find its footing in an evolving geopolitical landscape – with the US and China locked in competition. Ripple effects will have implications on other countries, including Singapore. This may impact growth in 2025, with GDP growth expected to come in at 1% to 3%
Budget 2025 will be a budget for all Singaporeans – shaped for Singaporeans to advance with the Forward Singapore agenda.
3.38pm
Singapore was impacted by inflation in recent years. PM reiterated that support has always been given to those who need it most. This budget is no different.
Singaporean households will receive $800 in CDC Vouchers. The first tranche will be worth $500, to be disbursed in May 2025, and the second tranche worth $300, to be disbursed in January 2026.
Read Also: Step By Step Guide To Redeeming Your CDC Vouchers
There will also be a doubling of the regular U-save rebates for eligible HDB households, amounting to up to $760.
More support will be given to families with children. $500 in LifeSG credits will be given to families for each child aged 12 and below. Children between 13 and 30 will receive $500 in Edusave or Post-Secondary Education Account (PSEA) top-ups.
Read Also: Singapore Parents’ Guide To Understanding (And Maximising) Their Child’s Edusave and PSEA
In tandem the Singapore Allowance, an ex-gratia payment that some pensioners receive, will also be increased from $350 to $390 a month. The monthly pension ceiling will also increase to $1,320.
3.42pm
With the ramp up in HDB BTO flats in recent years, the application rates for BTO flats have stabilised and are well below pre-COVID-19 levels.
Nevertheless, the BTO pipeline remains robust with over 50,000 flats, in a wide range of locations such as Woodlands, Bayshore, and Mount Pleasant, to be launched in the next three years.
PM Wong pledged to keep public housing affordable and accessible.
This comes on the back of the largest Sales of Balance Flat (SBF) exercise in February 2025, where 5,500 flats were launched. This will offer those who need their homes more quickly another avenue to get one, apart from resale flats.
For BTO sales launches in 2025, HDB will offer 3,800 flats with shorter waiting time of 3 years or less – out of the 19,600 BTO flats slated to launch.
Read Also: February 2025 BTO Sales Launch Guide: Kallang/Whampoa; Queenstown; Woodlands; Yishun
3.44pm
Higher costs also affect businesses.
In YA2025, businesses can look forward to a 50% corporate income tax rebate of up to $40,000 – providing a boost in cash flow as they adjust to higher cost. As not all businesses are profitable and may not enjoy this benefit, every active company that employed at least 1 local employee in 2024 will receive a minimum benefit of $2,000 per business.
PM Wong will also enhance the Progressive Wage Credit Scheme (PWCS) by increasing the government’s co-funding from 30% to 40% in 2025, and from 15% in 2026 to 20%.
Read Also: Progressive Wage Credit Scheme (PWCS): What Businesses Need To Know
The global landscape is evolving rapidly and Singapore has to grow its economy and keep it vibrant. Last year, Singapore grew more than 4% – translating into higher wages and real income for workers. While this level of growth may be challenging to achieve again in 2025, securing 2% to 3% of growth will still help create better jobs and opportunities for Singaporeans.
We must continue to uphold fundamentals to do this:
– Maintaining sound monetary and fiscal policies
– Harnessing market forces to drive efficiency and innovation
– Staying open to people and ideas to strengthen our capabilities
– Deepening our tripartite partnership as a cornerstone of economic stability
3.51pm
At this stage, Singapore cannot compete on cost alone. To take Singapore forward, Budget 2025 focuses on three key areas:
#1 technology and innovation
#2 our enterprise ecosystem
#3 our infrastructure investments
To enhance our technology and innovation engine, we need to anchor high quality investments. While Singapore cannot outbid major global economies, we have competitive strengths. The National Productivity Fund will receive a $3 billion top-up.
R&D efforts a re critical in powering innovation and technology. Over the past 20 years, the Government has consistent invested 1% of GDP annually in R&D. This has borne fruit for the biotech and semiconductor sectors.
In continuation of these, $1 billion will be set aside to refresh public biosciences and medtech research infratructure, as well as a new national semiconductor R&D fabrication facility.
More support will be given to enterprises to scale up. Support scheme for internationalisation and for mergers and acquisitions.
EDB will also launch a Global Founder Programme later in 2025, to encourage global founders to anchor and grow new ventures in Singapore.
All enterprises must invest in technology, including through off-the-shelf solutions like AI-powered analytics and digital marketing. The Government will continue to encourage these solutions through the Productivity Solutions Grant (PSG) and SMEs Go Digital.
Read Also: Guide To Understanding The Productivity Solutions Grant (PSG)
Beyond a certain stage, enterprises may need tailored solutions. Up to $150 million will be set aside for a new Enterprise Compute Initiative for firms to partner major cloud service providers to access AI tools and computing power, as well as expert consultancy.
Companies also need financing. Over the past 5 years, $1.8 billion has been set aside to support enterprise growth through investments. These investments generally have a horizon of 3 to 7 years. More funds will be set aside as “patient” capital, so innovative enterprises with longer growth trajectories have the time and resources to thrive. A new $1 billion Private Credit Growth fund will be introduced for such high growth local enterprises.
Larger companies may want to list on the public markets to access more capital. An Equities Market Review group was set-up to strenghten the attractiveness of the Singapore stock market. A tax incentive for Singapore-based companies and fund managers that choose to list in Singapore and grow or invest substantially in Singapore equities will be introduced.
4.00pm
Singapore is a global hub, and we must continue to remain relevant and good connectivity. The Tuas Port has seen record vessel arrival and tonnage, Singapore has achieved 5G coverage islandwide, and our air hub will be expanded with Terminal 5 in the works.
The government will top-up the Changi Airport Development Fund by $5 billion to ensure sufficient resources to develop our air hub.
Industries of the future are highly energy-intensive, and having to bring down carbon emissions must go hand-in-hand. The Government will also provide a guarantee to Changi Airport Group to lower their cost of borrowings needed to develop Terminal 5 and support infrastructure in Changi East.
4.04pm
A generation ago, the critical constraint was water – and we tackled this with the development of NEWater and our water industry. Today, industries of the future, artificial intelligence, semiconductors, biopharmaceuticals, are all energy-intensive. Expanding clean energy has become a major national imperative.
An immediate solution is importing low-carbon electricity from Malaysia, and expanding the capacity of power trading with Laos, Thailand and Malaysia. By 2035, 1/3 of our projected electricity demand will come from electricity imports.
To ensure energy resilience, Singapore has been evaluating scaling up local energy production. While nuclear power was not considered suitable when first assessed in 2010, significant advances in nuclear technologies and better safety features has made it more viable today.
Singapore will study the deployment of nuclear power, and will take steps to build up capabilities and expertise in this area, and work with leaders globally, including the US, and other countries with experience in civilian nuclear power.
Ensuring our energy resilience has become important, and a Future Energy Fund will established with an initial top-up of $5 billion.
4.06pm
Today, the job landscape is diverse. This is what economic dynamism and growth can deliver for our people.
A growing economy creates more well-paying jobs. Rapid technological advancement will revolutionis the jobs landscape – and workers will be supported by a skills reboot.
Announced during Budget 2024, the SkillsFuture Level-Up Programme will give Singaporeans aged 40 and above a $4,000 SkillsFuture Credit top-up.
From March 2025, individuals can apply for training allowance of up to $3,000 per month for selected full-time courses. This will be for up to 24 months – or $72,000 per worker.
For workers who wish to undergo part-time training rather than full-time, they can rest assured knowing that the training allowance will be extended to part-time training with a fixed allowance of $300 per month, from early 2026, to defray fixed learning expenses.
Read Also: Complete Guide To The SkillsFuture Level-Up Programme
To give low-wage workers a further boost, they can tap on the Workfare Skills Support Scheme from age 30. This scheme provides employers with absentee payroll support when they sponsor workers for training. Workers can also get training allowance when they go for self-sponsored training.
Currently, the scheme is designed to support short courses over a few days. An enhanced tier will be introduced under the Workfare Skills Support for lower-wage workers – modelled on the SkillsFuture Level-Up Programme.
4.10pm
Institutes of Higher Learning (IHL) are key partners supporting lifelong learning for workers in Singapore. The SUSS will be supported to developing a new city campus. The Singapore Universities Trust will also be extended by 10 years to 31 March 20242 to support funraising efforts of SUSS and SIT – providing matching grants for donations to support building up their endowment funds.
4.14pm
A new SkillsFuture Workforce Development Grant will be introduced to simplify application process for companies. This will provide higher funding support of up to 70% for companies for job redesign activities.
A redesigned SkillsFuture Enterprise Credit scheme will also be implemented. As companies may not be aware of the credit and have to pay upfront while waiting for reimbursements, It will be revamped to operate like an “online wallet”, rather than do so on a reimbursement credit. All companies with 3 or more workers will get a $10,000 top-up in the second half of 2026. Meanwhile, the existing $10,000 credit will be extended until the redesigned scheme is ready.
$200 million will be set aside for NTUC to implement CTC grants to help more companies’ transformation projects. CTC grant will also be expanded to support employer-led training that leads to formal qualifications or certifications.
4.18pm
Singaporeans are well-placed to do well in regional leadership roles in large firms and MNEs. More support will be provided to grow this leadership pipeline, enabling Singaporeans to gain overseas experiences managing operations in different countries, navigating diverse cultures and working seamless across borders.
More resources will be set aside to provide opportunities for promising Singaporean leaders, on scheme with EnterpriseSG, MAS and IMDA.
4.20pm
Through the SkillsFuture Jobseeker Support scheme, starting from April 2025, up to 6 months of financial support worth up to $6,000 will be give to workers as they undergo training or search for jobs.
The Government will increase the career matching services by localising job matching to all CDCs to run Jobs Placement Centres.
Two vulnerable groups, senior employees and ex-offenders, will also be given more support.
The SEC or Senior Employment Credit will be extended by another year to end-2026. The qualifying age will be raised to 69 years, in line with higher re-employment age in Singapore in 2026.
Read Also: Guide To Senior Employment Credit (SEC) Payouts For Employers Hiring Older Workers In Singapore
Later in 2025, MOM will convene a Tripartite Workgroup on Senior Employment, reviewing senior employment policies to improve employability of seniors.
The next step of increasing the CPF contribution rates will go ahead in 2026. Workers aged 55 to 65 will see their CPF contribution rates increase 1.5%-points. The CPF Offset Transition package will similarly be extended, reimbursing half of the additional cost.
Read Also: Increase In Retirement Age (Along With CPF Contributions): What Employers Need To Know
For ex-offenders, employment is integral to reintegrating into society. To encourage more employers to hire ex-offenders, the Uplifting Employment Credit will be extended to 2028.
Read Also: Understanding The Uplifting Employment Credit (UEC)
4.24pm
Momentum on global climate efforts has slowed. But Singapore will remain resolute to de-carbonisation. Singapore has committed to achieving net zero by 2050, and submitted new climate target to the United Nations Framework Convention on Climate Change last week – committing to reducing emissions to by 45 to 50 tonnes by 2035.
Beyond energy, the transport sector, which counts 15% of emissions today, will be another focus. In 2024, a third of all new cars registered were EVs and almost half were hybrid vehicles. The aim is to have 100% cleaner energy vehicles by 2040.
However, adopting of clean energy heavy vehicles has been slow, due to limited model availability, higher upfront costs and less accessible charging infrastructure. To accelerate the adoption of clean heavy vehicles, a new Heavy Vehicle Zero Emissions Scheme and an Electric Heavy Vehicle Charger Grant will be introduced.
Read Also: 5 Fully Electric Commercial Vehicles You Can Buy In Singapore
Today, drivers of Internal Combustion Engines (ICE) vehicles pay a fuel excise duties. While EVs are less pollutive, they should not be exempted from usage charges.
While a mechanism is being designed, an interim Additional Flat Component (AFC) of road tax for cars and electric light goods vehicles will be levied. Similarly, the AFC for electric heavy goods vehicles and buses will be introduced to maintain parity with usage charges for ICE heavy vehicles. The AFC will be set at $250 per year for electric heavy goods vehicles, and $190 and $550 per year for electric minibuses and large buses respectively, and phased in over 3 years starting from January 2026.
In this decade, Singapore will be investing $60 billion to expand and renew our rail network – and Singaporeans can look forward to the Jurong Regional Line and Cross Island Line, as well as extensions for the Thomson-East Coast Line, Downtown Line and Circle Line.
More efforts will also go into studying the expansion of Singapore’s rail network.
An additional $1 billion will be aside under the Bus Connectivity Enhancement Programme to enhance our bus services.
4.30pm
Around a third of Singapore may be vulnerable to coastal flooding. Coastal protection is an effort with studies in progress and implementation likely in the 2030s. The Coastal and Flood Protection Fund will be topped-up by $5 billion.
Individuals also need to adopt sustainable habits. In 2025 we received the Climate Vouchers under the Climate Friendly Household programme. This will be further enhanced with a further $100 Climate Vouchers to HDB households, following the $300 Climate Vouchers last year. Now, Singaporean household living in private properties will also get the $400 in Climate Vouchers.
4.33pm
Families play a key role in strengthening society, and lower-income families may have more hurdles to face.
ComLink+ was introduced in 2025, developing concrete action plans to progress – and receive ComLink+ progress package of up to $30,000 in CPF top-ups to save up for a home.
The Fresh Start Housing scheme will also be enhanced to help second-timer families living in rental flats to start afresh and own their own homes by buying a shorter-lease 2-room Flexi or 3-room flat with additional housing grants. The grant will be increased to $75,000, from $50,000.
Certain first-timer families with children living in public rental flats may also face difficulties buying full 99-year lease flats, and they will now be able to buy shorter lease flats going forward.
Monthly full day childcare fee caps will be set as $610 for Anchor Operator centres and $650 for Partner Operator centres. Lower and middle-income families will receive more support.
A new Large Families Scheme will be introduced for families with 3 or more children. This consists 3 components:
- A $5,000 increase in the CDA First-step Grant, for third and subsequent child born from today.
- A new $5,000 Large Family MediSave Grant disbursed into the mother’s MediSave account for their third and subsequent child born from today.
- $1,000 in annual LifeSG credits will be given to families, per child for their third and subsequent child, until the child turns 6 years old.
Read Also: Complete Guide to Baby Grants in Singapore – Baby Bonus; CDA; MediSave & Tax Relief
4.40pm
Through the EASE programme, mobility and senior-friendly fittings have helped seniors. This programme will be expanded to private properties for 3 years up to 2028.
Further, a 5-year dollar-for-dollar Matched MediSave Scheme will be implemented for lower-income seniors, aged 55 to 70, up to $1,000 per year. This will work similarly to the existing Matched Retirement Savings Scheme (MRSS).
Read Also: Step By Step Guide To Top Up Your CPF Matched Retirement Savings Scheme (MRSS)
Complemented by CareShield Life, the Government provides subsidies for long-term care services, especially for lower- and middle-income families.
Seniors with more severe care needs will get up to 15%-pt increase in Long-Term Care (Residential) subsidies. The maximum qualifying per capital household income will also be raised to $4,800. An additional 5%-point subsidies will be given to those born in 1969 or earlier, as they likely do not benefit from CareShield Life.
For seniors who prefer to age in place, subsidies for Long-Term Care (Home/Community) will be increased 10%-point, and the maximum qualifying per capital household income will also be raised to $4,800. Similarly, there will be additional 15%-point subsidies for those born 1969 or earlier.
Subsidies provided under the Senior’s Mobility and Enabling Fund will also be raised to cover rising costs of home healthcare items, such as adult diapers, and cover additional categories of items.
A Home Caregiving Grant will also be raised to $600 per month, from $400 per month today, to support caregivers for seniors who live at home. Again, the maximum qualifying per capital household income will also be raised to $4,800.
Insurance, likely the MediShield Life scheme, may also be tweaked, with PM Wong saying the Minister will provide more information at the COS.
Read Also: Grants; Subsidies; And Self-Care: Guide To Being A First-Time Caregiver In Singapore
4.48pm
More support will be given for Persons w Disabilities (PwD) to transit from school to worker. More support will also be provided for individuals with greater caregiving needs.
The Enabling Employment Credit will be extended to end-2028 to support employers hiring PwDs by offsetting their wages.
Similar to the enhancements for seniors, the increased subsidy rates for adult disability service will apply to PwDs. So will the higher maximum qualifying per capital household income of $4,800.
The Matched Retirement Savings Scheme will also be extended to PwDs regardless of age, to help save for their retirement early.
The Government will also step up efforts by SG Enable and the Special Needs Trust Company (SNTC) to encourage families to plan ahead for their child’s future care needs. There will be a new dollar-for-dollar matching grant, of up to $10,000 for top-ups by caregivers to the trust account.
4.50pm
Singaporeans from all walks of life have gotten us to SG60.
An SG60 package will be offered:
- SG60 vouchers of $600 for all Singaporeans 21 and above, seniors, 60 and above will receive $200 more. These are to be used like CDC Vouchers, and will be disbursed in July 2025.
- A personal income tax rebate of 60% will be provided in YA2025, up to a cap of $200
- Singaporean Citizen babies born in 2025 will be welcomed with an SG60 gift
A $100 SG Culture Pass will also be introduced, from September 2025, to encourage Singaporeans to attend local arts and heritage activities, such as arts and cultural performances, museum exhibitions and heritage experiences.
To appreciate hawkers and market holders, a one-time rental support of $600 will be given to the group this year. Up to $1 billion will also be allocated to upgrading ageing hawker centres and building new centres over the next 20 to 30 years.
Sports is an important avenue for all citizens. SG60 ActiveSG credits of $100 will be provided to book ActiveSG facilities and programmes.
To encourage the spirit of giving, the Government provides matching funds that multiply the impact of donations. This year, $100 million will be topped-up to the Cultural Matching Fund and it will be extended for 5 years until 2029. A further $270 million will be topped-up to the Enahnced Fund-Raising Programme to provide a dollar-for-dollar matching grants for fund-raising projects of Singapore registered charities.
Many Singaporeans are also passionate about giving back and social causes. A $250 million in SG Gives matching grant will provide a dollar-for-dollar matching for donations made through The Community Chest, the Collective for a Stronger Society and the President’s Challenge. $1.50 will be provided in matching donations for those who commit to donating at least $250,000 per year over a minimum 3-year period.
Self-Help Groups also play an important role in addressing the needs of their communities. Additional funding of $60 million will be provided over the next 5 years to enable them to enhance their programmes and support their communities.
Read Also: CDAC/ECF/MBMF/SINDA: How Much Do Employees Contribute To Self-Help Groups In Singapore
5.00pm
Sound and healthy public finances underpin Singapore’s investments in the future and not burdening Singaporeans with debt.
GST rate increases has brought in revenues to take care of seniors, while the Assurance Package cushioned the impact of cost-of-living for Singaporeans. The permanent GST vouchers also ensure the GST burdens on lower-income familes will be lower.
Property tax rate changes in 2024 also ensured those living in bigger homes and with investment properties pay higher property taxes. In November 2024, a 20% rebate for owner-occupied property tax rebate, capped at $1,000, was announced. Taken together, most will see lower property taxes in 2025.
In Financial Year 2024, revenue came in better than expected. Corporate Income Tax contributed to this, reaching 4.1% in FY2024, compared to 3.2% of GDP in the past. CIT is now the largest contributor to Singapore’s revenue. This is partly due to cyclical factors in finance and wholesale trade. It may also be down to MNEs seeking stable hubs to invest into.
We will end FY2024 with a surplus of $6.4 billion, or 0.9% of GDP. Similarly, a surplus of $6.8 billion is expected in FY2025, or 0.9% of GDP.
5.06pm
Government spending has meanwhile been expanding over the years. There will continue to be added pressure to raise spending in the future. The ultimate goal is for all Singaporeans to benefit from the nation’s progress.
5.10pm
Every generation has chosen innovation and progress over stagnation. This is the aim with Budget 2025 – laying the groundwork for the future.
PM Wong reiterated that when Singapore thrives, every citizen thrives.
The road ahead will not be without challenges. BUT, he concluded that our best days are not behind us.
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