On the economy, Mr Lee said Singapore has emerged strongly from the pandemic, with most sectors steadily recovering.Īlthough the war in Ukraine has clouded the outlook, authorities continue to expect positive growth this year. “So we have to be very careful not to overdo things,” he said. But there is “a limit” to this approach, cautioned Mr Lee, noting how a stronger currency also makes the country’s exports more expensive and less competitive against other countries. The Monetary Authority of Singapore has also tightened monetary policy four times since October last year, allowing the Singapore currency to strengthen.Ī stronger Singapore dollar makes travelling overseas more affordable and imported goods cheaper. “And if the situation worsens, we stand ready to do more.” “This will not cover fully every cost increase, but it will help lighten some of the burden on Singaporean households,” Mr Lee said. A lower-income family living in a three-room HDB flat can expect more support of about S$3,700. This includes cash payouts, rebates under the GST Voucher-U Save scheme and for service and conservancy charges, Community Development Council vouchers and MediSave top-ups.Īll these mean that a middle-income family with two young children and living in a four-room Housing Board flat can expect an additional S$2,200 in support this financial year. The Prime Minister said the Government is “doing everything necessary” to support Singaporeans, especially middle- and lower-income families. Russia’s invasion of Ukraine in February worsened the situation by disrupting supplies of oil, gas and grain, pushing up global prices. The COVID-19 pandemic had disrupted supply chains and prompted developed countries to roll out huge spending packages. Speaking at the National Day Rally, Mr Lee acknowledged that the cost of living is something that is at the “top of everyone’s minds”.Įven before the Russia-Ukraine war, inflation was already becoming a problem, he said.
SINGAPORE: The Government is ready to do more if the situation of rising costs worsens, said Prime Minister Lee Hsien Loong on Sunday (Aug 21).