$1 billion is being proposed for the second payment of the CPF Top-up of $500 to $1,700 announced by the Prime Minister in August last year. In addition, the government is proposing to contribute another $500 million to the Lifelong Learning Endowment Fund, bringing the total to $1 billion.

The ElderCare Fund was set up to help lower-income and lower-middle income households with the cost of nursing home care, while the Medical Endowment Fund helps lower-income individuals with their medical bills so as to ensure that no one will be left without access to medical care because they cannot afford it.

To further build up the ElderCare Fund and the Medical Endowment Fund, the government will contribute $250 million to the ElderCare Fund (bringing the total to $750 million) and $100 million to the Medical Endowment Fund (bringing the total to $800 million) in FY2001.