'Pro-R&D measures good, but won't help SMEs much'

Singapore

BUSINESSES and industry players have lauded the measures unveiled on Monday to spur innovation, saying they are much needed to maintain Singapore's global competitiveness as a research and development (R&D) hub.

But observers say that the measures are unlikely to move the needle for smaller businesses which are not keen to pursue innovation in the first place.

Small and medium-sized enterprises (SMEs) already engaged in such activities told The Business Times that the tax deductions are unlikely to encourage them to pursue more R&D, even if budgetary support is always welcome.

Lam Keng Yew, managing director of SME Onn Wah Precision Engineering, said:…