Cutting Budget deficit while sustaining positive fiscal impulse a knotty endeavour

Singapore

FOLLOWING 2020's fiscal largesse, and marking the start of a new term of government, Budget 2021 is expected to be a more modest affair with a less-dramatic deficit.

But keeping the deficit small while maintaining a positive fiscal impulse will be tough. The downturn has curtailed tax revenue, and new measures are likely to be off the table, to avoid hurting the nascent recovery.