An Economy of the Future that Works for All

A strategy centred around Singaporeans

The Economic Strategy Review (ESR) is about creating opportunities for Singaporeans in an increasingly contested world so they can thrive — as workers, entrepreneurs, investors and business owners.

This was shaped through the extensive engagement of 7,700 stakeholders over nine months from business leaders, trade associations and chambers, unionists, and experts across industries.

How are workers supported through change?

In today’s uncertain economic environment, we will experience changes in the labour market. Some jobs will evolve. Others may be disrupted.

The Government will support workers by making career and skills support easier to find, providing young Singaporeans with a strong start, and supporting workers to pick up relevant skills, move into new roles and recover more quickly from setbacks.

All workers

The new Skills and Workforce Development Agency (SWDA) will provide more seamless support from training to job placement. By bringing together training, career guidance, job matching and employer demand, they will be able to better align future skills more closely with future jobs and identify at-risk workers earlier.

Young Singaporeans

Young Singaporeans will also have stronger and expanded pathways from learning to real work. This includes formally recognising on-the-job learning, and expanding work-study options so that education, work experience, skills and employment are better connected.

Displaced workers

For workers who lose their jobs, the Government is closely supporting them through their re-employment process and studying ways to better support them.

This includes enhancements to the SkillsFuture Jobseeker Support (JS) scheme, which provides temporary financial support while involuntarily unemployed jobseekers actively search for jobs or undergo training.

Lower-wage workers

Lower-wage workers will not be left behind. They will continue to be supported through:

• The Progressive Wage Model (PWM), which provides clear pathways for wages to rise alongside skills, productivity and career progression;

• The Workfare Income Supplement (WIS) scheme which boosts the incomes of lower-wage workers while helping them save for retirement; and

• The Workfare Skills Support (WSS) which helps offset the cost of training, so workers can upgrade their skills and move to better opportunities.

Why does staying open still matter in a more uncertain world?

In a more fragmented global economy, the answer is not to turn inward. Instead, Singapore must continue to remain a trusted and valued global partner.  

For our economy to thrive, we need both local Small and Medium-sized Enterprises (SMEs) and Multinational Corporations (MNCs). Both are important to create good jobs, wages and opportunities for Singaporeans.

• Local SMEs make up 99% of all enterprises and employ more than 70% of our local workforce. When they grow, they create good jobs, strengthen our communities and bolster Singapore's economic competitiveness.

• MNCs bring in cutting-edge capabilities and technology, create high-skilled, high-paying jobs for Singaporeans, and help SMEs grow through expanded supplier relationships.

How are we helping SMEs grow and compete?

SMEs face an increasingly challenging operating environment. Support will focus on helping them build stronger capabilities to scale globally and expand with confidence, while leveraging a strong enterprise ecosystem.

That is why the Government provides tailored support to help our enterprises succeed – whether they are adopting AI, improving productivity, developing new products and services, or expanding into new markets. Through Enterprise Singapore, businesses can access support such as the Enterprise Development Grant, Productivity Solutions Grant and Market Readiness Assistance Grant to build capabilities, transform their operations and internationalise.

SMEs also benefit from a strong enterprise ecosystem that helps businesses innovate, build capabilities and seize new opportunities. This includes partnerships with larger companies and Trade Associations and Chambers (TACs). They can also tap into a network of SME Centres that provide advice, support and practical guidance for growth.

The goal is not just to help businesses manage today's challenges, but to help them become more competitive, resilient and better positioned for the future.

What does this mean for Singaporeans?

Singapore's economy is changing, but the goal remains the same: to ensure that Singaporeans have access to good jobs, opportunities to progress, and the confidence to navigate change.

By helping workers adapt, supporting local businesses to grow, and keeping Singapore connected to global opportunities, we will ensure that Singapore remains a place where every person has a fair chance to try, a pathway to progress, and support to recover from setbacks.