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Mon, Jan 19, 2009
The Straits Times
Targeted help for certain sectors

MR BENEDICT Soh, 59, is the executive chairman of exhibitions and interior design group Kingsmen Creatives. His company supplied seats and built suites for the recent Formula One race in Singapore. It has also won contracts with Universal Studios in Resorts World at Sentosa. It is closely watching Singapore's earnings from tourist receipts, which have fallen far short of official targets.

WHAT HE WANTS

'I have three wishes for the Budget. The first is for the Government to allocate more spending to attract tourists through tourism trade shows and overseas roadshows, and by bringing in large events and big theatre productions.

'A second wish is to attract more business visitors to Singapore for incentive travel, conventions and meetings.

'The Government can help by directly funding some of the marketing and trade visitor courses, or by subsidising them in some way.

'Lastly, I would like to see more infrastructure spending, especially on roads. This will be useful in the long run, and will enhance efficiency in the country.'

WHAT EXPERTS SAY

In past Budgets, the Government has often given targeted help to specific sectors. Those that could benefit this time include tourism, financial services and logistics.

With tourist arrivals seen dropping as consumers worldwide cut back on travel, the hotel sector is one of those likely to bear the brunt of the downturn.

Standard Chartered economist Alvin Liew believes a one-off waiver of the hotel accommodation tax could help hotel owners.

For financial services, KPMG's head of tax services Owi Kek Hean suggests wider-ranging tax concessions on Islamic financing transactions to encourage the growth of this market.

More infrastructure spending by the Government, such as reviving construction projects previously deferred, would also have positive spillover effects on related industries, including logistics and engineering, said Mr Liew.

ROBIN CHAN

This article was first published in The Straits Times on January 17, 2009.

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» AsiaOne Special: Singapore Budget 2009
 

 
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