Read more at https://www.channelnewsasia.com/news/singapore/looming-gst-hike-a-prudent-and-responsible-long-term-approach-pm-10012092
(Updated: )
Ricky Lim ·
Posted on :- 01 Mar 2018
Ricky Lim ·
Singapore
“We deliberately introduced rules on land sales and the 50 per cent NIRC cap so that we do not succumb to the temptation to draw more from our reserves to fund current expenditure or eat into the principal sum,” he said.
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50% of reserve income save and 50% of reserve income spend --- will be the best formula --- as it used half for current spending and plough back half to earn more income.
If this formula is tamper with - Singapore will be in for trouble.
For eg. now say use 60% for spending and save 40% - so less income will be generated as more will be spent.
Another few years down the road, someone will say, let us use more 70% for spending, and save 30%.
Then another few years down the road, someone say let use 90% and save 10%.
And finally one day, someone say, let use all 100% for spending and save 0%.
This is moving away from Middle Path - and will spell trouble for Singapore.
So keep this 50-50 formula is the best formula - as it induced prudent spending of 50% and prudent saving of 50%.
Like · Reply · 1m
Ricky Lim · Singapore
So when income from reserve is used up now, and the principal does not grow ---- in future when more spendings is required, how to tap the principal reserve income when its income cannot grow ---- then got to tax the taxpayers more ----- and it come back to the square one.
And worst still, Singapore will have no more buffer to cushion the Economy and the people - when our reserves did not grow to earn more income - when we used up all our buffers --- and Singapore is sure to get into big trouble.
Thus keeping the formula 50-50 - save half, spend half - 中道 Middle Path is the sacred, divine formula - and must not be tamper with.
Like · Reply · 1m · Edited
Ricky Lim ·
Singapore
“We deliberately introduced rules on land sales and the 50 per cent NIRC cap so that we do not succumb to the temptation to draw more from our reserves to fund current expenditure or eat into the principal sum,” he said.
--
50% of reserve income save and 50% of reserve income spend --- will be the best formula --- as it used half for current spending and plough back half to earn more income.
If this formula is tamper with - Singapore will be in for trouble.
For eg. now say use 60% for spending and save 40% - so less income will be generated as more will be spent.
Another few years down the road, someone will say, let us use more 70% for spending, and save 30%.
Then another few years down the road, someone say let use 90% and save 10%.
And finally one day, someone say, let use all 100% for spending and save 0%.
This is moving away from Middle Path - and will spell trouble for Singapore.
So keep this 50-50 formula is the best formula - as it induced prudent spending of 50% and prudent saving of 50%.
Like · Reply · 1m
Ricky Lim · Singapore
So when income from reserve is used up now, and the principal does not grow ---- in future when more spendings is required, how to tap the principal reserve income when its income cannot grow ---- then got to tax the taxpayers more ----- and it come back to the square one.
And worst still, Singapore will have no more buffer to cushion the Economy and the people - when our reserves did not grow to earn more income - when we used up all our buffers --- and Singapore is sure to get into big trouble.
Thus keeping the formula 50-50 - save half, spend half - 中道 Middle Path is the sacred, divine formula - and must not be tamper with.
Like · Reply · 1m · Edited
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