Singapore Budget 2003
28
Feb 2003
Press
Statement by the Singapore Business Federation on
the Budget Statement 2003/04
Seen against the backdrop of a fundamentally changed world, uncertainties
in the world economy and geo political situations, intense global
competitive pressures, and the new challenges faced by Singapore,
the business community and workers, the Singapore Business Federation
would describes the budget as reassuring and sweeping.
The Budget Statement is re-assuring as the Government is sending
a strong message to the business community and investors worldwide
that we are serious about reducing overall business costs. Inparticular
we welcome the government's acceptance of the ERC's recommendation
to defer the restoration of the employers CPF rate for 2 years.
At the same time the Government has introduced sweeping changes
in the tax regime to encourage enterprise, globalization, skills
upgrading, and to create intellectual property. Inparticular the
Government has taken a significant step in exempting interest income
from tax.
SBF also welcomes the new economic measures to help Singapore companies
grow and venture abroad, and to develop industry capabilities.
It is also pleased to note the increased funding for training and
schemes to help companies and workers cope with the fast pace of
economic restructuring.
The Federation is however disappointed that there will be no rebate
or reduction in the corporate tax rate as most of its members were
expecting this.
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