EDUCATION EXPENDITURE (Long-term target)

[Mr Speaker in the Chair]

Mr Heng Chiang Meng asked the Minister for Education whether there is a long-term target on education expenditure by the Government, such as a percentage of the Gross Domestic Product.

The Minister for Education (Dr Tony Tan Keng Yam): Mr Speaker, Sir, Government currently allocates 4% of GDP to education. As we improve the quality of education in Singapore, costs will rise. Government will consequently raise the financial allocation for education expenditure from 4% to 5% of GDP in the coming years. This will amount to almost one-fifth of total Government expenditure. Government contribution to build up the Edusave Endowment Fund will be in addition to this allocation.

There is, however, one point, Sir, which I would like to stress and that is Government expenditure on education, although generous, cannot expand without limits. Government expenditure on education has to be kept within reasonable bounds and should not be at the expense of other vital Government Ministries such as Defence. The Government will fund generously educational infrastructure and basic educational services which are adequate for the education and training of our children. If parents would like the schools to introduce refinements or additions to the basic educational programme, the additional costs will have to be recovered from parents through higher school fees.