Spending on services for seniors will be a “big item” in the upcoming Budget, Senior Minister of State for Finance Indranee Rajah said yesterday when she underlined the growing challenge of addressing the needs of Singapore’s rapidly ageing population.
She did not elaborate on the extent of the increase, but noted that “in the years ahead, healthcare is going to be an even bigger part of our Budget expenditure”.
The impending boost will build on earlier initiatives like the Pioneer Generation Package, which subsidises healthcare costs for seniors born in 1949 and earlier.
But resources for seniors’ programmes need not just come from the Government, Ms Indranee said, adding that voluntary welfare organisations (VWOs), charities, companies and individuals can provide them too.
Singapore has about 500,000 people aged 65 and older. This is expected to almost double to around 900,000 by 2030.
Healthcare needs, apart from loneliness and finance, are the leading concerns of most of them.
As the rise in healthcare expenditure is inevitable, Ms Indranee, who is also Senior Minister of State for Law, said “we have to see how we can fund it in a sustainable way”.
“We do have to look at the question of raising taxes,” she said, but was quick to add that the Government is not relying on just increasing taxes to cover the higher expenditure.“One of the most important thing is the economy,” she said, stressing that the Government will pay “a lot more attention” to finding ways to increase growth.
In Budget 2017, $10 billion was allocated for healthcare expenditure, and the amount is expected to go up to at least $13 billion by 2020.
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Source: The Straits Times, 26 January 2018