Singapore COVID-19 Resources

Update 12. Mai 2020:

As new daily cases approach single digits in Singapore, the government plans to begin lifting its “circuit breaker” shut down measures over the coming weeks, including some businesses on May 12 and schools on May 19.

Singapore announces Resilience Package to counter COVID-19 shocks

This second stimulus package named the Resilience Budget follows the S$6.4 billion (U.S.$4.47 billion) Unity Budget of February 18 and will introduce measures worth an unparalleled S$48 billion (U.S.$33.5 billion). In total the government is dedicating S$55.9 billion (U.S.$$38.5 billion) worth of financial support, amounting to 11% of Singapore’s GDP. The Singapore government is even drawing S$17 billion (U.S.$11.9 billion) from past reserves to support these new initiatives. This Resilience Budget is a three-pronged strategy that will stabilize businesses, support workers and build economic and social resilience.

Supporting Businesses

S$16.2 billion (U.S.$11.37 billion) allocated to help businesses with cash flow, credit and cost with provisions granted under the enhanced Jobs Support Scheme (JSS) and Wage Credit Scheme (WCS)
S$20 billion (U.S.$ 14 billion) loan capital arrangement has also been provided supporting companies with strong capabilities
S$15.1 billion (U.S.$10.61 billion) is dedicated to protecting job security, supporting employees and protecting their livelihoods, under enhanced the JSS.
S$4.6 billion (U.S.$ 3.23 billion) has been set aside to assist Singaporean households under the enhanced Care and Support Package.

Helping Enterprises Overcome Immediate Challenges

The major priority of the Resilience Budget is to help businesses overcome the immediate challenges posed by COVID-19 – facilitating cash flow, costs and credit.

S$16.2 billion (U.S.$11.37 billion) will be provided by the Singapore government providing companies with worth of wage assistance covered by enhanced the JSS and WCS. Alongside wage assistance, the Singapore government is also granting automatic deferment of income tax payments for companies and Self Employed Persons (SEP), no application required, for income tax payments due in April, May and June 2020. Instead, income tax payments will only be payable from July 2020, allowing businesses to use surpluses made in 2019 to meet immediate cash flow needs.

Property Tax Rebate

Resilience Budget will raise the percentage of rebates granted and covering more types of properties. For 2020, qualifying commercial properties that have been severely affected by COVID-19, including hotels, serviced apartments, tourist attractions, shops, and restaurants, will pay no Property Tax – a significant enhancement from the 15% to 30% Property Tax Rebate offered by the Unity Budget.
Businesses in other non-residential properties such as offices and industrial complexes will also be granted a Property Tax Rebateof 30% for the rest of 2020 and will provide support for tenants by enhancing rental waivers.
Stallholders in hawker centers managed by the National Environment Agency (NEA) or NEA-appointed operators will receive a three-month rental waiver, up from the one month announced in the Unity Budget. Other government agencies such as the Housing Development Board (HDB) and the National Arts Council (NAC), will provide a two-month rental waiver to eligible tenants – up from half a month proposed in the Unity Budget. Beneficiaries include social service agencies and charities. Additionally, all government fees and charges will be frozen for one year, from April 1, 2020 to March 31, 2021.Financing Schemes
These have also been enhanced to ensure that the hardest-hit businesses have continued access to credit. The Enterprise Financing Scheme (EFS) – Trade Loan will be enhanced, increasing the maximum loan quantum from S$5 million (U.S.$3.5 million) to S$10 million (U.S.$7 million) and increasing the government’s risk-share from 70% to 80%.
Subsidies to businesses for loan insurance premiums under Loan Insurance Schemes will also be increased, from 50% to 80%. The Temporary Bridging Loan Programme (TBLP) will be expanded to all sectors, and the maximum supported loan will be increased from S$1 million (U.S.$ 700,000) to S$5 million (U.S.$3.5 million).
SMEs that require more support beyond TBLP can draw credit through the EFS – SME Working Capital Loan, with a maximum loan quantum of S$1 million (U.S.$700,000). The Government of Singapore is partnering with participating financial institutions to defer capital payments for one year with the EFS-Working Capital Loans scheme and the TBLP loans scheme, if requested by businesses.
In addition to bolstering credit schemes, the Singapore government is setting aside an extra S$20 billion (U.S.$14 billion) of loan capital in its 2020 Budget. However, as the current situation is fluid, the government has promised to help where credit needs are most acute. The Monetary Authority of Singapore (MAS) is working with partner banks and insurers to evaluate how to assist businesses facing cash flow disruptions to meet loan obligations and premium payments.Fiscal Assistance
The Enhanced Aviation Support Package, totaling $350 million (U.S.$244 million) will be granted to provide cost relief for airlines, ground handlers and cargo industries, ensuring that a minimum level of flight connectivity is maintained.
Fiscal assistance will be distributed to sectors that have been severely affected by COVID-19.
Tourism sector:S$90 million (U.S.$63 million) for tourism recovery efforts to encourage a rebound once the COVID-19 situation improves. The food sector will receive a 50% wage offset, capped at a monthly wage of S$4600 (U.S.$ 3211). In the Land Transport Sector, Taxi and Private Hire Cars (PHC) will receive a Special Relief Fund of S$300 (U.S.$ 209) per vehicle per month to offset costs to drivers. Private bus operators will receive support via a 1-year road tax rebate and 6-month waiver of parking charges – applicable at government managed parking facilities, defraying operating costs. Lastly, the Arts & Culture sector will receive an S$55 million (U.S.$ 38 million) support package to safeguard job retention capabilities, support capability development and increase digitization efforts.Saving jobs, supporting workers, and protecting livelihoodsThe second thrust of the Resilience Budget will enhance the JSS introduced previously in the Unity Budget. The Singapore government will raise its co-funding of wages from 8% to 25% for all local workers. Profoundly affected sectors like the food services will receive higher wage support at 50% of salary. In addition, the worst affected industries, such as aviation and tourism, will be supported at 75% of wages. The monthly qualifying wage ceiling for JSS will also be raised from S$3600 (U.S.$2512) to S$4600 (U.S.$3211), which is the median income in Singapore. JSS will also be extended till the end of 2020 and employers will receive three pay-outs, in May, July and October this year. In total, S$15.1 billion (U.S.$10.47 billion) has been allocated to support more than 1.9 million Singaporean workers under JSS.
The Resilience Budget will also provide direct cash assistance to self-employed individuals, introducing the Self-Employed Persons (SEP) Income Relief Scheme (SIRS). Under SIRS eligible Singaporeans will receive S$1000 (U.S.$ 698) a month, for a period of up to 9 months. In total S$1.2 billion (U.S.$840 million) worth of support has been allocated to support SIRS. The government will also provide sustained assistance for SEPs to train and upskill during this period. A further S$48 million (U.S.$ 33.5 million) has been set aside to extend the SEP Training Support Scheme to December 2020, and the hourly training allowance will be increased from S$7.50 (U.S.$5.20) to S$10 (U.S.$7), with effect from May 1, 2020. Moreover, The Enhanced Workfare Special Payment will benefit 50,000 lower-income SEPs, increasing the pay-out received by each Workfare recipient to S$3000 (U.S.$2094) in cash.

The Singapore government will also launch the SGUnited Jobs initiative to create 10,000 jobs over the next year. The public sector will take the lead, recruiting for long-term roles in the civil service and sectoral partner institutions. Initiatives will bolster the provision of essential services and target sectors such as social services, early childhood education and ICT. Meanwhile, the Singapore Business Federation and other Trade Associations and Chambers are working together to identify private-sector job opportunities.

Strengthening Economic and Social Resilience, Emerging Intact and Stronger
To consolidate economic resilience, the Resilience Budget will introduce the SG Together, Enhancing Enterprise Resilience (STEER) From April 1, 2020, The STEER Programme will support industry-led initiatives in helping companies tide over economic uncertainties and build long term capabilities.
Under STEER, the Singapore government will match S$1 for every S$2 raised by Trade Associations and Chambers (TACs), doubling the earlier matching rate of S$1 for every S$4. The Singapore government highlighted TACs as crucial organizations in helping the business community emerge more durable and more robust after the crisis.

social resilience, the government may institute a broader range of safe-distancing measures, and would help employers and households implement mandatory public health measures. DPM Heng reemphasized the importance of increasing good personal hygiene practices by boosting SG Clean campaigns. Businesses will also receive co-funding for undertaking professional cleaning of premises with confirmed COVID-19 cases.

Monetary Authority of Singapore (MAS) new loan relief

On March 31, the Monetary Authority of Singapore (MAS) announced that it is working with various players in the financial industry on the following measures to help ease the financial strain: 1) helping individuals meet their loan and insurance commitments; 2) supporting SMEs with continued access to bank credit and insurance cover; and 3) ensuring interbank funding markets remain liquid and well-functioning. Banks and finance companies may apply for low-cost funding through a new Singapore-dollars facility for loans granted under Enterprise Singapore. For qualified SMEs, they may opt to defer principal payments on their secured term loans up to December 31, 2020 and they may extend the tenure of their loans. Meanwhile, banks and finance companies may apply for low-cost funding until December if they commit to pass on the savings in funding cost to their SME borrowers. Moreover, businesses holding general insurance policies may apply to their insurer for instalment payment plans. Earlier, the MAS angekündigt that it will provide up to US$60 billion through the new MAS USD Facility to support more stable USD funding conditions in Singapore and to facilitate USD lending to businesses. According to the MAS, these financial measures complement the initiatives in the Government’s Unity Budget and Resilience Budget to preserve jobs and support enterprises and households.

Klicken hier for the Ministry of Finance infographic that outlines the initiatives under the Resilience Budget.

Update as of April 9, 2020

Singapore Announces 3rd Relief Package for Businesses and Workers as COVID-19 Circuit Breaker Measures are Implemented

Deputy Prime Minister (DPM) Heng Swee Keat announced a third relief package in his address to parliament on April 6, 2020. This new budgetary supplement is named the Solidarity Budget and will cost an additional S$5.1 billion (U.S.$ 3.57 billion). The Solidarity Budget will utilize S$4 billion (U.S.$2.80 billion) from past reserves, adding to the S$17 billion drawn upon in the Resilience Budget – unveiled earlier on March 26, 2020. This latest budget aims to provide further assistance for businesses, workers and families who have been further affected by the Government’s Circuit Breaker measures.

S$4 billion (U.S.$2.80 billion) will further enhancing Temporary Bridging Loan Programme (TBLP), Enterprise Financing Schemes (EFS), and the Job Support Scheme (JSS).
S$1.1 billion (U.S.$770 million) will be reserved for Solidarity Paymentsthat are additional cash payments to help Singaporean families.Further Supporting Businesses

To facilitate firms’ access to credit, the Singapore Government is increasing its risk share of loans made under the TBLP; the EFS – SME Working Capital Loan; and EFS – Trade loan from 80% to 90% for loans initiated from April 8, 2020 until March 31, 2021.

Property Tax Rebate of up to 100% for non-residential properties, for tax payable in 2020. For most properties, this 100% Property Tax Rebate works out to a little over one month of rent. Amongst other things, the measures include property tax rebates for owners of eligible properties and rental waivers for tenants of Government agencies.
A one-month rental waiver will also be provided for industrial, agricultural, and office tenants of Government agencies for April – up from half a month rental waiver announced in the resilience budget. Additionally, stallholders in hawker centers managed by the National Environmental Agency (NEA) or NEA-appointed operators will continue to enjoy three months of rental waivers.
Commercial tenants will also continue to receive two months of rental waivers. The government also introduced and passed The COVID-19 (Temporary Measures) Act on April 7, 2020, that will shield parties from legal action for a six-month relief period if they are unable to meet certain contractual obligations, such as paying rent and repaying loans. The Bill will ensure that property owners pass on the Property Tax Rebate in full, to tenants.

Further Support Firms and Their Workers

Resilience Budget (second stimulus) noted that JSS would subsidize 25% of the first S$4600 (U.S.$3220) of gross monthly wages for all local employees. Higher wage subsidies were also provided for sectors more heavily affected by COVID-19 – 50% for food services firms, and 75% for the aviation and tourism sectors.
Under the Solidarity Budget (third stimulus) the enhanced JSS will raise the wage subsidy for all firms to 75% of gross monthly wages, for the first S$4600 (U.S.$3220) of wages paid in April 2020 – for each local employee. The first JSS payout for businesses will also be moved forward from May to April 2020. Firms which are on GIRO or PayNow will receive their payouts next week. Firms not on GIRO or PayNow will receive JSS payouts by cheque the following week.
Employers who hire foreign workers with S-passes or work permits will have their monthly Foreign Worker Levy due in April waived, to lower labor costs for April. Employers will also be provided with a Foreign Worker Levy Rebate of S$750 (U.S.$ 525) for each work permit or S-Pass holder, based on previous levies paid in 2020.Click hier for the Ministry of Trade and Industry (MTI) infographic that breaks down the Solidarity Budget.