CPF is Singapore's approach to help individuals, families build financial security: Jeffrey Siow

Singapore's approach to ensuring financial inclusion for its people is in having a system that helps provide for their needs through their working lives, said Second Minister for Finance Jeffrey Siow on Wednesday (Oct 21).

The system is also tailored to the needs of different groups, and adapted to better support retirement adequacy as the city state's population ages, he added.

Siow, who is also Minister for Transport, was delivering an intervention at the Asia-Pacific Economic Cooperation (APEC) finance ministers' meeting in Hong Kong, during a session on financial access and opportunity for all.

In a compendium for the meeting, the APEC policy unit highlighted that financial inclusion is not just about access to financial services, but also responsive systems that meet different user needs and build long-term financial security.

Referring to this, Siow stated that Singapore's approach is to help individuals and families build financial security over their lifetimes.

He gave the example of how families may have immediate expenses to meet, but would also need to plan for major financial commitments such as buying a home, healthcare and retirement.

"We have therefore designed a system that helps Singaporeans provide for their own needs progressively throughout their working lives. At its heart is our Central Provident Fund, or CPF, a national savings system."

Under the scheme, workers and employers both contribute regularly to CPF, building up retirement savings for workers that can be used for housing, healthcare and investment.

But it is also tailored to meet the needs of different groups, he pointed out.

"Lower-income workers have less capacity to save, even when they work consistently throughout their lives. Others may leave the workforce because of caregiving responsibilities and re-enter subsequently," Siow said.

The Singapore Government therefore provides support such as CPF top-ups or matching grants to meet these needs.

He highlighted Workfare Income Supplement (WIS) as one such support, which disburses both cash and additional CPF payments to lower-income workers.

Under WIS, 60 per cent of Workfare payments is credited to CPF accounts of lower-income employees, while self-employed and platform workers receive 90 per cent of Workfare payments in their Medisave accounts that can be used for healthcare needs.

Meanwhile, the CPF system is also adapted to better support retirement adequacy as the population ages.

Siow pointed to the CPF LIFE scheme, which pools contributions to provide guaranteed monthly payout to seniors for as long as they live.

The Government also has plans to roll out CPF Life-Cycle Investment Scheme , to provide a low-cost, and risk-adjustable investment option for CPF account holders who wish to grow their retirement savings further.

"These arrangements reflect Singapore's underlying philosophy of personal responsibility, supported by the collective," he said.

新加坡财政部第二部长萧敬腾周三（10月21日）表示，新加坡确保国民享有金融包容性的方法，是建立一个能够帮助他们在工作生活中满足自身需求的体系。

他还补充说，该系统也根据不同群体的需求量身定制，并随着城邦人口老龄化而进行调整，以更好地保障退休保障。

萧正树（同时也是交通部长）在香港举行的亚太经济合作组织（APEC）财长会议上发表了讲话，会议主题是“人人享有金融机会”。

在会议汇编中，亚太经合组织政策部门强调，普惠金融不仅仅是获得金融服务，还包括满足不同用户需求并建立长期金融安全的响应式系统。

对此，萧先生表示，新加坡的做法是帮助个人和家庭在一生中建立财务保障。

他举例说，家庭可能面临眼前的开支，但还需要为购房、医疗保健和退休等重大财务承诺做好规划。

“因此，我们设计了一套系统，帮助新加坡人在整个职业生涯中逐步满足自身需求。这套系统的核心是我们的中央公积金（CPF），一个国家储蓄系统。”

根据该计划，工人和雇主都会定期向公积金缴款，为工人积累退休储蓄，这些储蓄可用于住房、医疗保健和投资。

他还指出，它也根据不同群体的需求进行了调整。

“低收入工人的储蓄能力较弱，即使他们终生持续工作也是如此。还有一些人可能因为照顾家庭的责任而离开职场，之后又重新进入职场，”萧女士说。

因此，新加坡政府提供诸如公积金充值或配套补助金等支持，以满足这些需求。

他特别指出，就业收入补助金（WIS）就是这样一项支持措施，它向低收入工人发放现金和额外的公积金。

根据 WIS 计划，低收入雇员的就业补贴金的 60% 将存入公积金账户，而自雇人士和平台工作者的就业补贴金的 90% 将存入其保健储蓄账户，可用于医疗保健需求。

与此同时，随着人口老龄化，公积金制度也在进行调整，以更好地保障退休保障。

萧先生指出，公积金终身入息计划（CPF LIFE）汇集各方缴款，为老年人提供终身保障的每月退休金。

政府还计划推出公积金生命周期投资计划，为希望进一步增加退休储蓄的公积金账户持有人提供低成本、风险可调的投资选择。

他说：“这些安排体现了新加坡以集体为支撑的个人责任理念。”