Singapore Budget 2026 – Key Highlights
On 12 February 2026, Prime Minister and Finance Minister, Mr Lawrence Wong delivered the 2026 Budget.
Below is a summary of the key announcements in the order presented during the speech:
Economic Outlook & Strategic Positioning
The Government highlighted Singapore's strategy amid a more complex global environment, focusing on expanding partnerships, diversifying markets, and strengthening trade and investment connectivity.
Support for Businesses
- Corporate Income Tax (CIT) rebate of 40 % for YA 2026 for active firms (minimum benefit S$1,500; cap S$30,000)
- Enhanced grants and financing support, including Market Readiness Assistance and higher borrowing limits under the Enterprise Financing Scheme
Boosting Innovation & Technology Adoption
- Establishment of a National AI Council and enterprise programmes such as Champions of AI
- Enhanced tax incentives for AI and innovation-related expenditures
- Pilot hubs like Lorong AI to support ecosystem building and scaling
Workforce Development & Skills Building
Expansion of training programmes to equip workers with digital and AI skills and to help them adapt to evolving job roles
Industry Leadership & Investment
- Investments under the Research, Innovation and Enterprise 2030 plan
- Top-up to the Financial Sector Development Fund and expansion of Startup SG Equity to support high-growth companies and the innovation ecosystem
Initiatives for Citizens & Households
- Enhanced support through Community Development Council (CDC) vouchers, healthcare subsidies, and targeted assistance for families.
- Programs to improve skills, employability, and digital literacy among citizens to adapt to the evolving economy.
- Continued focus on affordable housing, healthcare, and education to support households in cost-of-living management.
These measures reflect the government's proactive approach to fostering a resilient economy and supporting its citizens during uncertain times.
