August 27, 2020

Published on 19 August 2020, the Channel News Asia (CNA) commentary, “Singapore’s steady seven-month plan to get the economy back on track”, by Distinguished Professor Sumit Agarwal (NUS Business School and NUS Department of Economics and Real Estate) reflects on the Ministry of Finance’s plans to swiftly recover Singapore’s economy. This commentary responds to the economic plans outlined by Deputy Prime Minister (DPM) and Finance Minister Heng Swee Keat during his ministerial statement on 17 August 2020.

Professor Agarwal lauds the pragmatic approach undertaken in implementing the S$8 billion package as it not only aids businesses and workers at present, it also paves the way for better future economic prospects. Noting the alarming 13.2 percent GDP decline in the last quarter, the worst recorded in Singapore, the government aims to assist the worst hit sectors while relocating retrenched workers to high-growth sectors such as biomedical sciences, financial services, and info-communications technology.

Setting itself apart from former plans, this package reallocates funds that were set aside for projects hindered by COVID-19 rather than tapping into the nation’s reserves. To ensure economic growth, Singapore plans to alleviate unemployment by swiftly getting workers hired again rather than merely handing out welfare benefits. Having suffered the brunt of the pandemic, businesses and individuals now have the opportunity to effectively utilise the government’s schemes and initiatives to rebuild and reskill themselves for this new, digitised era.

Read the full article here.