ECONOMIC RESTRUCTURING SHARES

[Mr Speaker in the Chair]

Mr Heng Chee How asked the Deputy Prime Minister and Minister for Finance, since Budget 2002 (a) how many Singaporeans have become eligible for the Economic Restructuring Shares (ERS) allocation in January 2003 by (i) inactive Central Provident Fund (CPF) account-holders making contributions to their accounts and (ii) non-salaried Singaporeans opening CPF accounts, and (b) what additional measures will the Government be taking to remind Singaporeans to make necessary contributions before the deadline of 30th November 2002.

The Deputy Prime Minister and Minister for Finance (Mr Lee Hsien Loong): Mr Speaker, Sir, as at 31st July 2002, around 1.3 million Singaporeans have made the requisite $50 CPF contribution to qualify for ERS. Out of this 1.3 million Singaporeans, 100,398 are inactive CPF account holders and another 221 are non-salaried Singaporeans.

The Government will take steps to remind Singaporeans about the ERS. In September 2002, CPF Board will send letters to all adult Singaporeans highlighting the key features of the ERS scheme. Those who have not made the requisite $50 CPF contribution will be reminded to do so as soon as possible before the deadline. After the letters have been sent out, pamphlets covering the ERS and the rest of the GST Assistance Package, such as the rebates and the CCC Assistance Scheme, will be distributed to the public.

The best way to reach out to all Singaporeans is not just through the Government's publicity efforts, but the active involvement of everyone in the community. Thus, Singaporeans should help to remind their family members, relatives and friends to make the requisite $50 CPF contribution. Grassroots leaders will also be doing their part to remind their residents about the ERS.

All eligible Singaporeans who have made the $50 contribution by 30th November 2002 will receive an ERS notification letter with details on the number of the shares that will be allocated to them on 1st January 2003. Those who have not made the contribution at that time can still do so by 31st December 2002. They will then receive the shares on 1st February 2003.