Name and Constituency of Member of Parliament

Mr Neil Parekh Nimil Rajnikant, NMP

Question:

To ask the Prime Minister and Minister for Finance (a) what are some of the key takeaways for the Government from the results of Singlife's Financial Freedom Index 2024 survey; (b) what are some of the key concerns in the area of ensuring financial freedom and stability especially amongst the younger generation of Singaporeans; and (c) what steps can the community and business organisations take to enhance public education on financial stability for Singaporeans.

Answer by Mr Gan Kim Yong, Deputy Prime Minister and Minister for Trade and Industry, and Chairman of MAS:

1.  There are various surveys conducted by private sector organisations. MoneySense, our national financial education programme, conducted the 2021 National Financial Capability Survey (NFCS), which has a comprehensive scope covering financial knowledge, attitudes, and behaviour. The survey found that Singaporeans have done better in adopting good basic financial habits such as budgeting and maintaining emergency savings, compared to the previous survey in 2017. 

2.  The NFCS also highlights the importance of helping individuals make sound financial decisions and manage their money well. To this end, MoneySense has partnered industry partners to promote positive financial behaviour and attitudes among Singaporeans. In addition, MoneySense's partner, the Institute for Financial Literacy, provides free talks and workshops on financial planning topics at workplaces and to the public.

3.  We are actively helping Singaporeans start their financial planning journey. Last year, the Monetary Authority of Singapore, the Central Provident Fund Board and MoneySense, together with financial industry associations, jointly developed a Basic Financial Planning Guide. The Guide sets out rules of thumb for emergency savings, insurance protection, investing, and retirement planning. These are customised to follow a Singaporean's six key life stages, from when he starts work, to when he retires. We have disseminated this Guide across Singapore through digital and physical channels. MAS also encourages financial institutions and their representatives to use the Guide when they take their clients through their financial planning journeys.

4.  The 2021 NFCS found that youths generally had higher levels of financial literacy compared to their elders. MoneySense has prioritised youths to encourage healthy financial habits and set good foundations. We teach financial literacy concepts through our school curriculum from primary through the tertiary levels. MoneySense also organises financial talks and workshops for youths to supplement what they have learnt in school.