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The Government will continue to monitor inflation closely and enhance the $6.6 billion Assurance Package if the need arises, said Deputy Prime Minister Lawrence Wong on Monday (July 4) in Parliament.
The package, which aims to cushion households from the impact of the looming goods and services tax increase, still holds as it was designed with a buffer in case of higher inflation, he said.
“We will continue to assess the adequacy of the Assurance Package as the inflationary outlook evolves.
“If need be, we will further enhance the Assurance Package to uphold the commitment,” said Mr Wong, who is also Finance Minister.
Meanwhile, the global economic environment has become very challenging and the risk of further deterioration is high, said Minister of State for Trade and Industry Alvin Tan.
Still, Singapore is likely to avoid a major downturn or runaway inflation for now, he added.
“At this stage, we do not see or expect a recession or stagflation in 2023. Nonetheless, risks in the global economy remain significant,” said Mr Tan in response to questions from fellow MPs.
In other headlines, fresh evacuation orders were issued for thousands of Sydney residents on Monday after relentless rain flooded several suburbs in Australia’s largest city.
Australia correspondent Jonathan Pearlman joins the programme to explain why officials are warning of more wild weather to come.