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Govt takes on Cupid's role, woos stork with fresh perks
Siow Li Sen
Wed, Jul 16, 2008
The Business Times

(SINGAPORE) The government seems set on playing Cupid - and to make sure that it not only brings couples together but also helps them have more babies.

There will be more opportunities for young people to socialise. The government will also look at housing so that marriage won't be deferred for the lack of a home. Critically, it will improve financial support for parents which could mean more cash for each baby, subsidies and tax benefits, said Lim Hwee Hua, Senior Minister of State for Finance and Transport yesterday.

Minister Mentor Lee Kuan Yew last week indicated that Singapore is reviewing its procreation policies and could be looking to the Swedish model. Its measures range from having affordable childcare to paid paternity leave and child allowances. Singapore's total fertility rate of 1.29 is one of the lowest in the world.

The government has studied the Swedish model and is looking at what can be adapted to Singapore and how to pay for it, said Mrs Lim at a news conference to release the findings of a public consultation on marriage and parenthood.

'What the government now needs to do is to see how elements of this can be adapted to the local context. The government would also have to look at what society as a whole can afford because this would obviously come with a huge budget.'

She noted that the Swedes do face challenges with their comprehensive childcare provisions.

While Sweden has gender-neutral parental paid leave, a study showed that over 80 per cent leave is still taken by mothers - making it difficult for women to compete on equal terms with men in the labour market.

Mrs Lim also pointed out that Sweden has 25 per cent GST and a top rate personal income tax of 56 per cent.

A series of feedback sessions held from April until this month looked at what was stopping Singaporeans from having babies despite them wanting to do so. A survey last year of 6,000 people showed that 85 per cent singles still want to marry and almost 80 per cent of married people want two or more children.

The feedback showed that singles had no time to socialise after starting work or did not know how to start. But even when they were in a serious relationship, they cited a wish for their own flat as a reason for putting off marriage. For couples, financial security, childcare arrangements and a stressful education system were cited as obstacles to having babies.

Summing up the work ahead, Mrs Lim said: 'The government can think about stepping up facilitation efforts. At the different levels, where it thinks it can help play a role, perhaps more subtly, and therefore encourage more and more people to socialise as a matter of course, rather than for the purpose of just finding a life partner.

'Second phase is getting married. The wish for privacy. Some actually have specifically said housing. It's not clear whether rental or purchase because that obviously ties in with expectations. Obviously, there's a preference for privacy, whether that can be accommodated, so that it doesn't defer marriage itself.'

Mrs Lim did not elaborate on what could be looked at in terms of housing policy to help young couples get their first home faster.

The 'third big chunk' where the government will help is giving more financial support to parents.

'Now we have baby bonus, all the subsidies and so on, tax incentives. How should they be revamped, revised and even enhanced so as to provide more support not just for women but also for men,' Mrs Lim said.

 

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