The fiscal year begins on Apr 1, but the Budget process begins a few months earlier, with Budget Day typically in mid-February. After the Budget is announced, the government must seek Parliament’s approval of it.
The Budget Process
Ahead of Budget Day
• Cabinet approves of the Budget
• Ministers may hint at what to expect
Budget Day
(usually mid-February)
• The finance minister delivers the Budget Statement in Parliament
This contains a review, for the coming year, of
01
Singapore’s economic performance
02
The government’s outlook
03
Policy proposals
• The Ministry of Finance issues the Budget Book, with expenditure estimates for each ministry
Budget Debate
(usually at least a week after the Budget)
• The Supply Bill is introduced and debated in Parliament
This is the draft law that, once passed, will control how much and how the government can spend in the coming fiscal year
• The Budget Debate takes place over two or three days, closing with a round-up speech by the finance minister
• MPs vote to support or reject the Budget Statement
Committee of Supply debates
(usually early March)
• This begins right after the Budget Debate, lasting about seven to 10 days
• Parliament forms a Committee of Supply to consider and vote on each ministry’s request for funds
• MPs propose nominal cuts of S$100 to each ministry’s estimates This is a formality that lets them comment on the policies and programmes of that ministry
• At the end, Parliament votes on the estimates of expenditure and the Supply Bill
• After the President approves the Bill, the Supply Act authorises the government to withdraw monies from the Consolidated and Development Funds for use
April 1
The new financial year begins
After the Budget is announced, the government must seek Parliament’s approval of it.