3 self-help groups to get increase in Govt grants

SINGAPORE — Three self-help groups will receive an increase in matching grants from the Government, following announcements by the groups that they would be raising the monthly contribution rates of working Singaporeans from next year.

The Chinese Development Assistance Council (CDAC) will get a one-off grant of S$10 million, which will be disbursed over five years until Financial Year 2018. The council, which does not get annual grants, last received a one-off grant of S$10 million when it was first set up in 1992.

The Singapore Indian Development Association (SINDA) will have its matching grant cap doubled to S$3.4 million a year, while that of the Eurasian Association will be doubled to S$400,000 a year.

The increase follows announcements by the three groups on Saturday that they would be raising monthly contribution rates from Jan 1. Only Malay self-help group Yayasan Mendaki will maintain its contribution rates — which range from S$2 to S$16 a month — as it last raised rates in 2009.

The matching grants for Mendaki, the Association of Muslim Professionals and the other Malay-Muslim organisations were earlier increased from S$4 million to S$5 million from this financial year.

The Ministry of Culture, Community and Youth said CDAC, SINDA and the Eurasian Association had submitted proposals to the Government for additional funding to expand their outreach and tackle new areas of need in their respective communities.

“It is commendable that the (self-help groups) are providing more programmes and expanding their outreach to meet new needs in their respective communities,” said Mr Lawrence Wong, Minister for Culture, Community and Youth. “The increase in the Government’s matching grant will help support these new areas of need.”

The programmes by self-help groups cover areas of education, employability, and youth and family services, and they reach out to more than 164,000 beneficiaries. All four self-help groups ran deficits in the last financial year. The contribution rate increases for CDAC, SINDA and the Eurasian Association will be tiered according to income, with higher-income earners giving more.

High-income earners from the Indian community will see the sharpest increases — SINDA contribution rates for those earning up to S$4,500 monthly will continue to be between S$1 and S$7 each month, but those who earn more than that will see rates go up by between S$2 and S$23 next year. This means they will contribute between S$9 and S$30 each month.

Eurasians earning more than S$2,500 a month will see contribution rates increase between S$1 and S$10. That means they will contribute between S$9 and S$20 each month. Those earning less than that will not see any changes. Chinese workers who earn more than S$3,500 will contribute between S$1.50 and S$3 to the CDAC, instead of the current S$1 each month. Those earning less than that will not see changes.