SG Morning Highlights | SIA Records 14.4% YoY Rise in Group Passenger Traffic for January 2024

Advancers / Decliners is 62 to 61, with 110.83 million securities worth S$65.75 million changing hands.

Deputy Prime Minister Lawrence Wong has announced support and assurance packages for Singapore households and HDB flat owners during the Singapore Budget 2024. HDB households can expect 2.25 times higher rebates of $950 dollars in financial years 2024, covering up to 4 months of utility bills for those living in 3- and 4-room flats. CDC vouchers amounting to $600 dollars will also be given out to all Singapore households over the next year. A cost-of-living special payment of between $200 and $400 in cash will be given to Singaporeans with income of not over $100,000 annually and who own not more than one property. The package is designed to provide more support to lower income households and larger households with elderly and children. The GST voucher fund has also been topped up by $6b to help households defray costs.

The Singapore government will increase the annual value (AV) band property tax threshold in 2025, according to Deputy Prime Minister Wong during the Singapore Budget 2024. The lower threshold for AV Bands at $8,000 and below for a 0% owner-occupier residential property tax will be increased to $12,000. The upper threshold with 32% property tax rates will also be raised to $140,000 and above from $100,000. The increase in property tax rates in 2022 was initially intended as a wealth tax for all investment properties and higher-end segments of owner-occupied private properties. However, the sharp increase in AV bands due to strong demand and supply constraints resulted in nearly double the number of owner-occupier residential properties affected by the tax.

The Singapore government is investing an initial amount of $5b for the Future Energy Fund to support the country's energy transitions, according to Deputy Prime Minister Lawrence Wong during the Singapore Budget 2024. Singapore heavily relies on natural gas, which is the cleanest form of fossil fuel. However, the country lacks natural resources for wind, tidal, and solar power plants, hindering its goal to achieve a net-zero target by 2050. Wong noted that the country is exploring other clean energy resources such as hydrogen and geothermal energy. The government plans to start by testing and deploying hydrogen-carrier ammonia for power generation and bunkering on Jurong Island. The Future Energy Fund will allow the country to invest in critical infrastructure and enhance its security in clean energy.