I’m extracting some of the points I think are more noteworthy about the Budget from Channel News Asia website. I’ll deal with them in another entry later.

  • Workfare will be given partly in cash but mostly in CPF
  • Workfare benefits also extended to those above 35 years, who earn $1,500 or less
  • Those aged above 45, earning $1000 or less receive highest Workfare benefits
  • Reduce CPF contributions for low-wage workers, give Workfare income supplements
  • Employer CPF contribution rate up by 1.5 percentage points to 14.5%, from 1 July 2007
  • The Government to subsidise 80% of cost of post-diploma courses for Singaporeans
  • The government will introduce the Post-Secondary Education Account (PSEA) for every Singaporean aged seven to 20; PSEA can be used at publicly-funded universities, polytechnic
  • Budget deficit of $1.3b expected for FY2006
  • Response to widening income gap must be to focus on growth, embrace globalisation, but manage downsides