HOUSING LOANS OF CPF MEMBERS

[Mr Speaker in the Chair]

Mr Steve Chia Kiah Hong asked the Acting Minister for Manpower what is

(i) the number of people who use all their incoming CPF contribution to pay for housing loans monthly; (ii) the amount of cash each of these individuals is required to top up for their housing loans once the total CPF contribution rate is cut to 30%; and (iii) the estimated impact of this reduction in cash circulation to our economy.

The Acting Minister for Manpower (Dr Ng Eng Hen): Mr Speaker, Sir, as at 30th June this year, about 577,000 members (45% of total active members) serviced housing mortgage payments from their CPF accounts. Of these, 221,400 members (17.4% of total active members) had monthly mortgage payments that were equal to, or more than, their monthly Ordinary Account (OA) contributions. This represents the number of members who currently use all their incoming CPF contributions to pay for their monthly housing loan instalments.

As for the Member's question on the amount of cash required to top up their housing loans once the CPF rates are cut and the estimated impact of reduction in cash circulation based on the CPF cuts, as the Prime Minister (PM) has yet to announce the changes, I will not be able to provide the specific details. I suggest to the Member that he may defer the questions after the PM has made the announcement.