Which businesses will receive higher support from the new Singapore grant?

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SMEs Will Likely Receive Higher Support from the New Singapore Grant

Singapore is set to introduce a new Business Adaptation Grant by October 2025, with small and medium enterprises (SMEs) expected to benefit from a more generous allocation. This grant aims to assist businesses in navigating the evolving tariff environment.
Generous Allocation for SMEs

The Business Adaptation Grant will be capped at S$100,000 per company. However, Manpower Minister Tan See Leng indicated that SMEs are likely to receive a higher level of support due to their significant contribution to Singapore's workforce, which comprises approximately two-thirds of the total. This approach reflects a commitment to bolstering the backbone of the national economy.
Scope of Support for Businesses

The grant's framework is designed to support enterprises engaged in international trade, particularly those exporting to or operating in overseas markets affected by tariff measures. This includes assistance with free trade agreement compliance, legal and contractual advisory, and supply chain optimisation. Businesses with overseas or local manufacturing operations may also receive aid for reconfiguration costs, such as logistics and inventory holding expenses.
Broader Economic Context and Future Outlook

The introduction of the grant occurs against a backdrop of increasing global economic uncertainty, partly attributed to recent tariff announcements. Deputy Prime Minister Gan Kim Yong highlighted that while businesses have been adjusting, the expectation of higher tariffs going forward suggests a potential slowdown in economic growth over the next six to twelve months. Further details regarding the grant's specifics are anticipated to be released in due course.

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Which businesses will receive higher support from the new Singapore grant?

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