Use surpluses of the past for social spending

February 14, 2012

Business Times
Published February 14, 2012
LETTER TO THE EDITOR
Use surpluses of the past for social spending

 

 

I REFER to media reports that, with social spending expected to rise as Singapore ages, the government will have to look at ways to raise more revenue to help the elderly, poor and broken families.

 

In the financial years 2005-2010, we had Budget deficits of only $278 million, $817 million and $55 million in FY2010, FY2009 and FY2006 respectively. Budget surpluses, on the other hand, were $239 million, $7,656 million and $1,486 million in FY2008, FY2007 and FY2005 respectively. So the net surplus for the last six years was $8.2 billion.

Against this, only about $200 million was disbursed to needy families under the various ComCare schemes over the last five years, with $61 million given to 20,300 families in FY2010, which ended on March 31, 2011.

Considering the huge surpluses gathered in the past – as well as estimated reserves in excess of $500 billion – is there really a need to find ways to increase revenue to help the needy in the future?

Leong Sze Hian

 

 

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About the Author

Leong
Leong Sze Hian has served as the president of 4 professional bodies, honorary consul of 2 countries, an alumnus of Harvard University, authored 4 books, quoted over 1500 times in the media , has been a radio talkshow host, a newspaper daily columnist, Wharton Fellow, SEACeM Fellow, columnist for theonlinecitizen and Malaysiakini, executive producer of Ilo Ilo (40 international awards), Hotel Mumbai (associate producer), invited to speak more than 200 times in about 40 countries, CIFA advisory board member, founding advisor to the Financial Planning Associations of 2 countries. He has 3 Masters, 2 Bachelors degrees and 13 professional  qualifications.