S$800m Covid-19 support package for affected firms and individuals, no draw on past reserves
AN S$800 million support package is being rolled out for firms and individuals affected by Phase 2 (Heightened Alert) measures, including enhanced Jobs Support Scheme (JSS) payouts for certain sectors, Finance Minister Lawrence Wong announced on Friday afternoon.
There will be no draw on past reserves for this, said Mr Wong, who co-chairs the multi-ministry taskforce on Covid-19, in a virtual media doorstop.
The S$800 million package will be funded by reallocation from development expenditure - as some of the latter will be capitalised under the Significant Infrastructure Government Loan Act. A Supplementary Supply Bill will be tabled at the next Parliamentary sitting in July for this reallocation.
Phase 2 (Heightened Alert) applies from May 16 through June 13, with measures such as dining-in not being allowed at food and beverage outlets.
Mr Wong said that the government's assessment is that the measures are working for now, and "are having an effect in controlling the spread of the virus".
He said that "a fuller update on our latest assessment of the public health situation, as well as our next moves" will be given at a planned multi-ministry taskforce press conference on Monday.
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If tightened Covid-19 safe management measures do have to be extended beyond June 13, the government will review and see if some support measures need to be extended too, he said in response to questions from the media.
Mr Wong noted that the scale of this support package is different from those last year, as "most parts of the economy are still operating" now; businesses and individuals have learnt to adapt; and there are more ongoing government schemes such as the Jobs Growth Incentive which also render support.
The government had earlier said that it would increase JSS support for F&B businesses to 50 per cent, from 10 per cent earlier, from May 16 till June 13.
It will now also raise support for sectors that had to suspend many if not all operations, including gyms and performing arts organisations, to 50 per cent, for that period.
Sectors that do not have to suspend operations but are "significantly affected" - including those in retail, affected personal care services, museums, cinemas - will get 30 per cent JSS support.
Secondly, the government will provide rental relief to small and medium-sized enterprises, as well as eligible non-profit organisations with annual revenue not exceeding S$100 million, which are tenant-occupiers of qualifying commercial properties.
There will also be one-off support for lower- to middle-income employees and self-employed persons who have been hit by the tightened measures, under the new Covid-19 Recovery Grant (Temporary). This will run in parallel with the existing Covid-19 Recovery Grant scheme, which remains open.
READ MORE: Jobs Support Scheme raised from 10% to 50% for those affected by tighter Covid-19 rules
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