SDP: Here’s How We Fund Our Programmes to Help Our Vulnerable

For the longest time, the PAP has accused the opposition of not coming up with alternative ideas to take Singapore forward. Then the SDP drew up a series of policy positions (see here) some of which the PAP has even adopted (see here).

Deprived of this platform of criticism, the ruling party’s refrain has morphed into “Where is the money going to come from?” or some variation of it. The implication is that these programmes are beyond Singapore’s financial means.

This new line of attack is, perhaps, best captured by Dr Vivian Balakrishnan who, in GE 2015, expressed that SDP’s tax-and-spend approach will take Singapore down the path of Greece. He was referring to Greece’s debt crisis following the global financial meltdown in 2008.

It is a bit rich for Dr Balakrishnan to accuse the SDP of heavy taxation and profligate spending given that it is his party that has been going on a spending spree (see below) and imposing a slew of tax increases, including the impending GST increase.

Nonetheless, we will address the matter of funding of the SDP’s programmes. Below are some sources and strategies.

I. Cut profligate and wasteful spending

1. Reduce ministerial pay. Judging by their recent collective performance (and this extends back to before the Covid-19 outbreak), the present set of ministers have been mediocre at best. Their salaries are not commensurate with their ability and should be appropriately pared down. If these salaries are reduced according to the SDP’s formula proposed in our policy Ethical Salaries for a Public-centred Government, the total savings from the entire cabinet is conservatively estimated at $10 million to $12 million a year (see here).

The savings provide 2,000 of our poorest elderly $500 of living expenses a month for a whole year. This would be a good start.

Also, by reducing their salaries, ministers will be able to lead with moral authority. This is crucial because boosting essential financial support for the people will entail trade-offs for the privileged class (see proposed measures below) and will require leadership by example from the ministers.

2. Stop self-promotion. Another area of public expenditure that needs to be cut back is the use of advertisement for MPs’ self-promotion. From banners to newsletters to LED-display boards, public funds are being spent unwisely to advertise PAP MPs and candidates.

3. Exercise financial prudence. From purchasing $2,000 bicycles for NParks officers to paying $800,000 for rubbish centres to over-spending $300 million on the Youth Olympic Games, the PAP has been profligate in spending the people’s money. The Auditor-General has repeatedly cited the various ministries for not exercising financial prudence when it comes to expenditure of public funds money.

4. Stop mega projects. The PAP also needs to stop dubious projects that eat up tax monies. The Jewel Changi, costing nearly $1.8 billion, is a case in point. The mall was proving to be a disappointing business venture and in danger of becoming a white elephant even before the start of the Coronavirus pandemic.

In the immediate future, the government is going to spend more on similar projects like the Founders’ Memorial and a questionable Terminal 5 at Changi Airport. It also recently announced that it would spend $60 billion in the coming 10 years to renew and expand the rail network. Part of this must be plans to cater for an even bigger population, possibly 10 million.

II. Stop a 10-million population

As mentioned above, the PAP has indicated that it is thinking of raising the population in Singapore to 10 million. Apart from the fact that this will make the already overcrowded island even more densely populated which adds to the mental stress of the people and reduces the overall quality of life (not to mention the quicker spread of virus outbreaks), increasing the number of people will mean greater expenditure in infrastructure like housing and public transport.

Cutting back on unnecessary government spending will free up funds for programmes like RESTART (Re-Employment Scheme and Temporary Assistance for the ReTrenched) and RISE (Retirement Income Scheme for the Elderly). Such programmes will put money in the pockets of Singaporeans which will help to revive and keep the economy running in the post-Covid era.

III. Increase taxes on the wealthy

1. Increase personal income tax. Presently, this tax for the wealthy is only 22%. (It was cut from 28% to 20% in 2007 and raised to 22% for income above $320,000 in 2017). This level is one of the lowest in the world. While the millionaires and billionaires continue to accumulate vast amounts of wealth, they are not doing their fair share to ensure that all Singaporeans benefit equitably from GDP growth.

The SDP recommends that personal incomes taxes for the highest 1% income-earners be raised to close to 30%. Even then, this rate is still the lowest among developed economies.

2. Introduce a wealth tax. This can also be done for the richest of the rich. Even PAP MPs have called for such a tax. The GST for luxury items can also be raised to 10% and beyond to raise revenue for SDP’s programmes like RESTART and RISE.

3. Increase corporate tax. MNCs and GLCs pay low corporate taxes at a flat 17% which is one of the lowest in the world. This can be increased to fund public programmes to enhance the wellbeing of the average Singaporean.

4. Reinstate estate duty. This tax was abolished in 2008 but should be re-introduced for wealthy families/individuals who own multimillion-dollar homes and wish to pass it on to their children as inheritance. This is important as the overwhelming majority of Singaporeans live in HDB flats that become zero in value at the end of their 99-year lease and cannot be passed on to their children.

5. Introduce capital gains tax. Such a tax would also help to provide revenue to ensure that essential public services are adequately funded.

IV. Use income from reserves

The government passed three budgets in 2020 to deal with the fallout from the pandemic:

    Unity $6.4 billion
    Resilience $48 billion
    Solidarity $5.1 billion (see





These three budgets cost $60 billion. The revenue is derived from taxes, returns from reserves, and $17 billion (of the Resilience package) drawn from past reserves. (Note: A significant portion of the funds would go back to the government as some of the measures have been designated to help companies of which the government owns a good portion.)

By comparison, the SDP’s RISE, for example, is estimated to cost $2.8 billion annually. At this rate, it would take more than 20 years to expend the same amount of money the PAP allocated in 2020 alone.

The reserves have been accumulated through the extraction of wealth through the people’s CPF savings, HDB land lease, COE, ERP, foreign workers’ levy, etc. to, according to some estimates, upwards of a trillion dollars.

With an unprecedented economic fallout expected from Covid-19 crisis, it is time that the government stops penny pinching with Singaporeans and starts taking care of the people from whom it has taken so much.

As a first step, it must tell the people how much it has in our reserves before the country can make an intelligent assessment of how much to allocate to help the people live a secure and decent life. The PAP must not be allowed to be the sole arbiter of how much of the reserves ought to be used.

It must also not be allowed to do this in opacity and non-accountability. It cannot say that opposition-proposed programmes would bankrupt the nation while drawing billions from the reserves – all while refusing to disclose the amount.


The Covid pandemic has irrevocably altered the global socio-economic landscape. Singapore cannot escape this changed reality. No longer can the PAP continue to play the game by telling Singaporeans that it cannot afford to take care of the vulnerable and the weak, which include workers and retirees, while financially molly-coddling the wealthy.

If Temasek Holdings (owned by the Ministry of Finance) can underwrite a $15-billion sale of shares and convertible bonds for Singapore Airlines alone, the government can invest in Singaporeans.

If the government can use public funds to subsidise companies’ staff wages through the Jobs Support Scheme (JSS) – in which 32 companies returned the payouts worth a combined $35 million (as of May 9) – it can deploy funds to help vulnerable sectors of society to tide through this period.

And if it can use taxpayers’ money to pay for added costs incurred by private dorm operators due to the dormitory lockdowns, it can use the money to reduce wealth inequality in this country.

The SDP’s programmes like RESTART, RISE, healthcare plan and housing policy focus on putting the welfare and wellbeing of the people first. We need to look after our people – average Singaporeans whose hard work and sacrifice built this country into what it is today – and put them in the centre in our policy-making.


Singapore Democrats




25 Responses to “SDP: Here’s How We Fund Our Programmes to Help Our Vulnerable”

  • Realistically:

    @ Singapore Democrats

    For all the verbosity, the SDP fails miserably to indicate the AMOUNT of money involved in its rhetorical case for doing more for sinkie.

    The SDP also fails miserably to even tell sinkies how the SINKaPOOR economy works and whether by increasing both corporate and personal income taxes for the rich would have major implications for other areas of economic activities.

    I am reminded of the late Lee Kuan Yew’s addressing the oft touted argument about Minister’s pay by a commenter, ‘angel’, in at this link:;

    Quote: “From parliamentary secretaries to ministers, the top level in the civil service is paid a total of S$46 million annually.
    That is 0.13 percent of the total government expenditure or 0.022 percent of GDP. On Monday, the civil service pay review will be announced in Parliament.
    The Minister Mentor warned that the Singapore economy would be in jeopardy if it does not pay top dollar for top people.
    He said if this S$46 million was cut to maybe S$36 million or S$26 million, the country would save S$20 million but in the process, would jeopardise an economy of S$210 billion.

    Well what is the SDP’s response to LKY’s 2007 statement, bearing in mind that the Minister’s pay had subsequently been cut since 2011?

    As for CONTINUED financing of the underprivileged sinkies, how is the ONE TIME CUT in whatever the SDP proposes sustain the enhanced benefits for sinkies?

    As for the Jewel at Changi Airport, did the SDP foresee the outbreak of the COVID-19 virus? If not for the COVID-19 lockdown WROLD-WIDE, would the Jewel be a good source of attraction and income for SINKaPOOR and sinkies?

    Can the SDP write-off Jewel forever………that the aims and objectives of Jewel would NEVER materialised hopefully once the pandamic is declared over and travel patterns resume its steady increase prior to the COVID-19 outbreak?

    TOK is cheap lah………..the SDP, and for that matter almost all the so-called oppos don’t seem to have a CLUE as to the ROOT CAUSE of SINKaPOOR’s problems and the economic model being pursued by the emperor without clothes regime.

    Which was the reason why Chee Soon Juan could only poll 39.9% of the Bukit Batok SMC by-elections when he, being a Chinese, would hv the advantage in a majority Chinese SMC with a weak Indian PAP candidate, and also the by-election favouring the (genuine) oppo , and that remains so.

    I hv no time to make a more detail rebuttal, but I think there is more than sufficient to call out the SDP’s lack of critical thinking.

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  • Do more:

    Need to do more for the poor , needy and the elderly.
    No excuse …Only right thing to do.
    Singapore can easily afford to do that…if we can spend the kind of money to take care of the FW….

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  • SDP trapped:

    By coming up with all these taxes, SDP has just killed itself.

    Don’t the SDP people know that those earning $3000 a month consider themselves rich? They will be scared of SDP.

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  • Do More Please:

    We need to do more to improve the social net..too little at the moment.
    Especially for the poor and needy.
    The social divide is too much and the cost of living for the bottom 20% is too high…
    Our PG and MG should not have to resort to meaningless laborious work at this stage to survive…our CPF Policy have failed them.Many are asset rich and cash poor.But now even their old diminishing HDB asset is not able to help them to retire properly…

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  • Gig & Fake Economy:

    The worldwide Gig & Fake Economy has enriched the superich at astronomical speed while sucking the poor into abyss.

    Covid19 is here to stay to Reset
    the World Economy to a more humane ONE (Optimal Natural Economy) whereby Transparency and
    Accountability are the Anchor Roots of Sustainable Governance.

    Lest, Mankind shall live under one Dishonorable Sun which melts all Economic Power into Eternal Bankruptcy.

    Covid19 and its Mutant Descendants are the Invincible Army that eradicate Greed of Mankind of all sorts.

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  • Realistically:

    It is PATHETIC that ALL the SDP & its IBs can do is to thumb me down rather than engage in a constructive dialogue as to the ROOT CAUSE of SINKaPOOR’s problems which are exposed in the emperor without clothes failures in the current COVID-19 pandemic, termed as a monumental disaster.

    For those who tok about “do more” for the poor, what IS the amount you are toking about? How sustainable is the spending……….for eg the reduction of Minister’s salaries would only yield a few million $, which is not even enough meaningfully to go around the hundreds of thousands of poor sinkies.

    It must be obvious that the SDP is NOT concerned about the plight of the poor sinkies, but hoping to get the easy $16k monthly MP allowance………by exploiting the grievances of the poor and making empty promises.

    The SDP can help contribute towards a better SINKaPOOR and sinkies, but it has failed miserably of living up to its propaganda………..Not surprising therefore that the SDP, and especially Chee Soon Juan, described and living up to his reputation as being too clever by half, has failed to gain traction in SINKaPOOR’s politics.

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  • On Pappy trickle-down no shit?:

    “Socialists should insist on using the nationalised industries not simply to out-capitalise the capitalists – an attempt in which they may or may not succeed – but to evolve a more democratic and dignified system of industrial administration, a more humane employment of machinery, and a more intelligent utilization of the fruits of human ingenuity and effort. If they can do this, they have the future in their hands. If they cannot, they have nothing to offer that is worthy of the sweat of free-born men.”

    E.F. Schumacher, “Small is Beautiful: A Study of Economics As If People Mattered”

    Pappy’s corporatized every gomen department and it’s not for the people’s sake, but their own bank accounts.
    Have you got a cert we like? Give us your soul and we make you into cronycrat like you’ll never walk alone again.

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  • Realistically:

    For those ignorant, conceited and self-righteous SDP members and IBs, let me tell you that at a Minister’s dialogue session during the time when Khaw Boon Wan was the Health Minister, at the PA Training HQ near the Yew Tee MRT station in the 2nd half of January 2008, I had called on the MOH to abolish MEANS TESTING of applicants for state subsidies in meeting their health care needs.

    At the same session, I also requested that the Govt allocates more funds from the proceeds of GIC and Temasek Holdings to fund more social spending. I also praised Khaw for being the best Health Minister, which the wooden Goh Chok Tong had mentioned in public a few months later, based on what I read in a media report.

    As EVERYONE, maybe except the too clever by half Chee Soon Juan and his acolytes, would know, the PAPie govt of the emperor without clothes subsequently adjusted the formula for the returns on our reserves, to increase the amount available to fund increased social spending.

    You, Chee Soon Juan and his SDP acolytes should aks yourselves, where was the SDP and especially Chee at that time with regards for the need to increase social spending?

    I hv said time and again, the main problem lie with the emperor without clothes being UNFIT to be the PM for his incompetence, arrogance and conceit……..and also that of his so-called elites, previously described by LKY as “top talents”.

    Let me also tell Chee and his acolytes that I had, at one SDP organised
    event at Waterloo Street around 2006 that the SINKaPOOR economic model was UNSUSBTAINABLE…..again where was Chee and his acolytes at that time?

    Face the facts: The SDP is really PATHETIC.

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  • Realistically:

    It is I who exposed the emperor without clothes disastrous handling of the COVID-19 pandemic in late January 2020 pointing out how STOOOOOOOOOOPID the emperor without clothes had been to say that the wearing of surgical face masks for those who were well would NOT offer protection of the wearers by pointing out that even before the COVID-19 virus was discovered, that doctors and nurses at polyclinics and hospitals had been wearing surgical face masks.

    If the wearing of surgical face mask offered no protection against the wearer being infected with the COVID-19 virus, then those doctors and nurses must also be damn STOOOOOOOOOOOPID for wearing the surgical face masks! Surely the doctors and nurses cannot be wrong to wear the surgical face masks when on duty at the hospitals and polyclinics.

    And WHERE was the too clever by half Chee Soon Juan, the SDP IBs and Chee’s acolytes who can ONLY resort to negatively thumbing me when I had exposed the epic failures of the emperor without clothes?

    So dun tok cok lah……….that I don’t care about those poor sinkies………

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  • WakeupSG:

    Freezing fixed expenses and providing a Universal Basic Income will not only stabilize the economy, it will also stabilize our societies. Unemployment, financial crisis, and fear create social chaos. This is a time when what we need is for people to stay safely at home and a functioning economy to exist until the worst of the pandemic has passed.

    We are at a moment in time when we should pause, reflect on the long term needs of our society and the consequences of the pandemic. While the situation is frightening, the way that this plays out is up to us and we can’t let an economic depression be a forgone conclusion. This can be a few years, or this can define the rest of our lives. We’ve arrived in the “new normal” but how do we get to the ideal management strategy that takes us through this pandemic and into a new era where our world is transformed for the better.

    The Big Freeze buys us time, it preserves the integrity of our economy and allows businesses and individuals to make smart decisions instead of being stuck in a crisis mindset. Our future should be built on well thought out solutions rather than stop-gap measures.


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  • NotMyProblem:

    Any policy besides PAP’s policy is a good policy.

    PAP policies only for the party, period.

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  • Realistically:

    @ NotMyProblem:
    May 20, 2020 at 9:06 pm (Quote)

    “Any policy besides PAP’s policy is a good policy.

    PAP policies only for the party, period”

    Only problem is that the electorate refused to buy the s*ake oil pitch of Chee Soon Juan, again and again, GE after GE with the latest Bukit Batok SMC by-election being the latest verdict against Chee & his SDP……….

    Looks like sinkies like you can’t face up to the realities.

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  • Realistically:

    @ WakeupSG:
    May 20, 2020 at 8:19 pm (Quote

    “Freezing fixed expenses and providing a Universal Basic Income will not only stabilize the economy, it will also stabilize our societies.”

    At what COST? Especially so when a sinkie like you don’t even know the ROOT CAUSE of SINKaPOOR’s problems and the economic policies necessary to stay sustainable.

    “We are at a moment in time when we should pause, reflect on the long term needs of our society and the consequences of the pandemic.”

    Hello, FORWARD planning can be effective when it is done by a competent leadership. Unlike me, the SDP had failed in ANY WAY to call out the emperor without clothes’ policy failures, which is why I hv been saying that the SDP, especially Chee Soon Juan has no expertise, knowledge and character to contribute positively and constructively, except to rely on the no-brainer slogan of ‘doing more for sinkies’ by spending and spending so that he could, hopefully get elected to enjoy the $16k monthly MP allowance, like the wayang party MPs.

    In any case, the WHOLE WORLD is facing the COVID-19 problems; SINKaPOOR is no exception. The only problem, as I have pointed out on 27 January 2020, in so far as the COVID-19 pandemic is concerned, that the emperor without clothes has been called out to be damn STOOOOOOOOOOPID, unbefitting of being the PM. Where was Chee and the SDP then? Free-loading on people like me to show up the policy failures of the ‘aristocratic elites’!!! Ha ha ha…….poor Chee, nowhere to be seen.

    “The Big Freeze buys us time, it preserves the integrity of our economy and allows businesses and individuals to make smart decisions instead of being stuck in a crisis mindset.”

    I don’t think you even know the fundamentals of the SINKaPOOR economy; Chan Chun Sing’s latest prognostication is something which might interest you. The FACT is that even without COVID-19 the US & other Western countries have become more concern about the rising China……oh, you might like to read what fellow commenter BK had posted about the increasing nationalism of major countries which would have a severe impact on the functioning of the SINKaPOOR economy.

    “The Big Freeze buys us time, it preserves the integrity of our economy and allows businesses and individuals to make smart decisions instead of being stuck in a crisis mindset.”

    I certainly AGREE on the need for increased Govt spending, BUT the SDP/Chee’s proposal is for the Govt to “do more” on a SUSTAINED basis, and not as a temporary measure, which is why I said that that may not be sustainable, especially in the changed world politico-economic conditions.

    I would just like to say that there are rational policies to take care of the poor and irrational and irrepsonsible policies advocated by Chee Soon Juan and his SDP purely to enable him to receive the $16k monthly MP allowance. Good night

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  • Realistically:

    ““The Big Freeze buys us time, it preserves the integrity of our economy and allows businesses and individuals to make smart decisions instead of being stuck in a crisis mindset.”

    I’ve already pointed out in my earlier post at 3.27 pm on 20 May above, that at an SDP organised event at a Waterloo Street premises – I think the former Catholic High primary school – around 2006 that SINKaPOOR’s economic model was not sustainable…………no need to “buy time”

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  • Anti-everybody?:

    You are anti-PAP and anti-SDP. Are you in some political party?

    Vote anything that is not lightning!

    VTO. VTO. VTO.

    ““The Big Freeze buys us time, it preserves the integrity of our economy and allows businesses and individuals to make smart decisions instead of being stuck in a crisis mindset.”

    I’ve already pointed out in my earlier post at 3.27 pm on 20 May above, that at an SDP organised event at a Waterloo Street premises – I think the former Catholic High primary school – around 2006 that SINKaPOOR’s economic model was not sustainable…………no need to “buy time”

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  • Hopelesslyuselessgov:

    hoping to get the easy $16k monthly MP allowance………by exploiting the grievances of the poor and making empty promises.

    The SDP can help contribute towards

    You said it.. .
    you ask for means testing , sir ??

    Only you ???

    Wrote to MY Khaw ???

    You sure have a big hat, walking around….

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  • Observer:

    SDP has to pick its constituents carefully.

    With CSJ’s Taiwanese links, how would 1st Gen new citizens from China view CSJ?

    Does 1st Gen new citizens still keep in touch with relatives in China?

    Are their China relatives subject to China propaganda?

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  • Realistically:

    The SDP and especially Chee Soon Juan once again show up its (and Chee’s) lies and distortion when it/Chee tries to deceive readers that I am “anti-PAP and anti-SDP. Are you in some political party?”

    I hv been unequivocal to endorse and support Professor Paul Thambyah and Kenneth Jeyaretnam.

    I do believe that Professor Thambyah is the Chairman of the SDP and Kenneth Jeyaretnam is the Sec-General of the Reform Party…………so that makes me “anti-SDP” & being “in some political party”?

    The LIES and DECEIT only the SDP and Chee are capable of rather than exposing the shams, incompetence and epic failures of the emperor without clothes……….

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  • Realistically:

    That I have opposed the MOH’s means testing during a Minister’s dialogue on means testing organised by REACH, then under the leadership of Amy Khor in the 2nd half of January 2008 is undisputed. That I told Khaw that he was the best Health Minister was repeated by the wooden Goh Chok Tong is on public record and domain. That I had called upon the PAPie govt to spend more on social expenditure is also on record, at least amongst those who attended the dialogue session. Whether or not my proposal did result in the PAPie govt’s adoption of a new formula for spending from the reserves returns, I do not know. However, the FACT that the PAPie govt DID adopt the new way to calculate the amount of spending from our Reserves AFTER I had made my suggestion would point to my positive contribution towards benefiting the less well off sinkies, UNLIKE Chee/SDP and the other fake oppos silence and lack of ANY constructive and positive contributions except the no-brainer slogan of “doing more”.

    Too bad, that the too clever by half Chee thought and still thinks he is indispensable, but the actually a problem of the ills affecting sinkies.

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  • WakeupSG:

    For post pandemic SG, we need a new political system; no more one party dominant govt as this induces collective complacency or failure of imagination which was evidenced in the coronavirus sudden surge in the foreign workers population!

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  • Realistically:

    I have long advocated that the emperor without clothes regime must end. That is LONG before the COVID-19 pandemic……… I said earlier, I had said that the PAPie regime’s economic policies were unsustainable during one of the SDP organised event at a location at Waterloo Streed around 2006.

    That has been why I said that the likes of Chee Soon Juan and his SDP, besides most of the so-called oppos, maybe with the exception of Kenneth Jeyaretnam, failed to understand the ROOT CAUSE of SINKaPOOR’s problems, let alone solution.

    People like you have been burying your heads in the sand, thinking so highly of yourselves. That of course includes people like Chee Soon Juan and his SDP. Sadly, people like you continue to bury your heads in the sand and in denial; only to wrongly blame the supposed 69.9% when it was and continues to be the FAILUREs and insincerities of the so-called oppos whose ONLY objective is to earn the $16K monthly MP allowance.

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  • WakeupSG:

    For post-pandemic SG, we welcome a new political landscape with no dominant pap govt:




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  • Realistically:

    Re-post from:

    May 28, 2020 at 11:58 pm (Quote)

    Maybe the more serious and patriotic sinkies might want to consider the financial position of SINKaPOOR in the context of Heng Swee Kiat disclosing that:

    ‘Singapore’s financial position will be ‘a lot weaker’ in coming years, says Deputy PM Heng Swee Keat’ @ the following link:

    Singapore’s financial position will be ‘a lot weaker’ in coming years, says Deputy PM Heng Swee Keat 28 May 2020

    Singapore’s financial position will be “a lot weaker in the coming years”, Deputy Prime Minister Heng Swee Keat has said as the city-state on Thursday recorded 373 new COVID-19 cases among foreign workers while for the first time since February 23 there were no new cases among Singaporeans or permanent residents.


    So Chee Soon Juan, what is YOUR response to Heng Swee Kiat’s warning that Singapore’s financial position will be “a lot weaker in the coming YEARS”?

    You and your PATHETIC lack of understanding of SINKaPOOR’s economy and root cause.

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  • Do more:

    Do more for the poor and needy,especially for those who are on no pay leave or lost their job..
    Comcare should work faster and ensure the support is timely and meaningful.
    Be more targeted in approach and flexible.
    Some of the support given to our local is so pathetic compare to what done for FW….not much help in time like this.

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  • Good Government:

    A good Government is measure not by the top 10% success and wealth.
    It is how it take care of its lowest 10%…
    Nation are blessed when it take care of its vulnerable and disadvantage poor.
    It has been in the past and it will be so in the future.
    History will attest to this…

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