Poverty Alleviation Strategies in Singapore Yap Mui Teng

Poverty Alleviation Strategies in Singapore Yap Mui Teng Senior Research Fellow Institute of Policy Studies, Singapore

Prevalence Ø No official poverty line (as in Hong Kong) Ø Dept of Statistics l l Minimum Household Expenditure (MHE) Half of median per capita household income • Information on income distribution but for income from work only Ø Different income criteria used for determining eligibility for assistance and in means tests

Prevalence Ø Estimates vary l l 2000 on public assistance (late 1990 s) 30, 000 households (MTI 1996) 120, 000 or 4% of resident population (DOS, figure for 1998) 100, 000 households (welfare agencies 2001) Prevalence of poverty difficult to know

Poverty Alleviation Strategy Ø Independence, self – reliance l Jobs • Education, skills development/upgrading, training and retraining • Job creation, investment promotion (attracting foreign investment), entrepreneurship promotion • Jobs links, matching Ø Family support l l Promotion of family values Legislative, administrative measures (e. g. tax reliefs for caring for parents and CPF top-ups, use of Medisave, Maintenance of Parents Act)

Poverty Alleviation Strategy Ø Community l l l Community Development Councils (CDCs) Voluntary welfare organisations (VWOs) Partnership with business, charities Ø Government l Policy maker, planner, regulator and provider

Poverty Alleviation Strategy Ø ‘Many helping hands’ approach l l Co-funding Fund raising from corporate sector, public Ø Emphasis is always on regaining financial independence and preventive (so that the next generation do not fall into the trap of poverty)

Poverty Alleviation Strategy Ø Financial Assistance Schemes l Government schemes, administered by CDCs • • Public Assistance Scheme / Special Grant (for PRs) Interim (Short-term) Financial Assistance Scheme (IFAS) Rent and Utilities Assistance Scheme (RUAS) Home Ownership Plus Education Scheme (HOPE) Work Assistance Programme (WAP) Kindergarten Financial Assistance Scheme (Ki. FAS) Student Care Fee Assistance Scheme (SCFA) Centre-based Financial Assistance Scheme for Child Care (CFAC)

Poverty Alleviation Strategy Ø “Local” financial assistance schemes introduced by CDCs l l Disbursed by members of parliament in each ward within CDC Short term – about 3 months Small quantum – about $200 pm In-kind assistance e. g. food vouchers

Poverty Alleviation Strategy Ø Employment, re-employment l l l Skills Development Fund Skills Redevelopment Programme Training allowance Absentee payroll support Self-employment Assistance Scheme

Role of NGOs Ø NGOs, particularly the voluntary welfare organisations (VWOs), play a very important role in the provision and delivery of social services in Singapore l l Religion-based community welfare service organisations e. g. Presbyterian, Methodist, Buddhist, Moral Society, etc Clan or ethnic based • Clan associations long history in Singapore • Ethnic self-help groups e. g. Mendaki, SINDA, CDAC

Role of NGOs l l Others e. g. Rotary Club, Lions Club, etc Philanthropic organisations and foundations – funding e. g. Singapore Pools, Lee Foundation, Shaw Foundation, etc. Important to note: NGOs help all those who seek help from them, regardless of race, language, religion or gender

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