The $8 billion Pioneer Generation Fund is not intended to cover the underlying healthcare subsidies that the Pioneer Generation receives together with all Singaporeans. These will continue to be from future annual budgets. For example, the enhanced SOC subsidies in this Budget are part of our future year’s budgetary spending and we have planned for them on that basis. After including the Pioneer Generation Fund and various measures in this Budget, and factoring in the Net year’s Investment Returns Contribution, the Overall Budget Balance is a deficit of $1.2 billion, or about 0.3% of GDP. This is close to a balanced budget, and will not result in a draw on past reserves as we have sufficient surpluses from the last few years.
The $8 billion Pioneer Generation Fund is not intended to cover the underlying healthcare subsidies that the Pioneer Generation receives together with all Singaporeans. These will continue to be from future annual budgets. For example, the enhanced SOC subsidies in this year’s Budget are part of our future budgetary spending and we have planned for them on that basis. After including the Pioneer Generation Fund and various measures in this year’s Budget, and factoring in the Net Investment Returns Contribution, the Overall Budget Balance is a deficit of $1.2 billion, or about 0.3% of GDP. This is close to a balanced budget, and will not result in a draw on past reserves as we have sufficient surpluses from the last few years.
FY2014_Budget_Statement.docx