The Economic Development Sector groups MTI, MOT and MOM with elements of other agencies that have a role in promoting Singapore’s economic growth.

This sector accounts for 13% of FY2004 government expenditure.

The Economic Sector aims to achieve:

In FY2004, the Economic Sector agencies will work towards their goals by allocating their expenditure to emphasise the following:

Direct funding of $109 million to EDB, to attract $8 billion of fixed asset investments in the manufacturing sector and $2 billion of total business spending in traded services.

Estimated funding of up to $22.6 million for Media21 and DesignSingapore, to nurture local media enterprises and attract overseas investments in media projects, and to promote design excellence as a key driver of national competitiveness.

Setting aside an estimated $1.35 billion (including loans) under the Economic Development Assistance Scheme (EDAS), to promote and upgrade capabilities of industries.

Allocating $624 million to assist in the development of internationalisation of Singapore companies.

Providing financial assistance to approximately 1,500 Singapore companies for their internationalisation needs.

Attracting hub services projects generating a total incremental business spending of $444 million.

Setting aside $852 million to strengthen Singapore’s Research and Development (R&D) capabilities, especially in niche industries.

Developing strong international research relationships and networks which will make Singapore a key global node of R&D excellence.

Budgeting $67 million for the Singapore Tourism Board to develop and promote Singapore as a travel destination by developing core as well as emerging markets.

Setting aside $1.191 billion on projects such as the Circle Line and Punggol Light Rail Transit to enhance the rail network coverage.

Committing $722 million to implement traffic management schemes, and improve the road network, bus interchanges and commuter facilities.

Allocating a total of $274 million to MOM to manage both foreign and local workers, facilitate continuing education and skills upgrading, and maintain workforce competitiveness.

Drawing on $62 million from the Lifelong Learning Endowment Fund, to provide training and placement services for job seekers and unemployed, financial incentives to encourage companies to recruit local workers, and subsidise upgrading courses in the Post-Secondary Educational Institutions.

Setting aside $33 million for the Manpower Development Assistance Scheme to support 20,000 training places under the Skills Redevelopment Programme and to develop manpower capability in strategic industries such as Healthcare under the Strategic Manpower Conversion Programme.

Committing $19 million to benefit 8,500 job seekers under an extension of the People for Jobs Traineeship Programme, which provides incentives to employers to hire older unemployed locals prepared to make a career switch across sectors.