Singapore Government Media Release
Media Division, Ministry of Information and The Arts,
140 Hill Street #02-02 MITA Building, Singapore 179369.
Tel: 837 9666

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The Inter-Ministerial Committee (IMC) on the Ageing Population was formed in late October 1998 to lead a coordinated national response to address the challenges of Singapore�s rapidly ageing population. The IMC is chaired by the Minister for National Development, Mr Mah Bow Tan, with the Minister for Health, Mr Lim Hng Kiang, and the Minister for Community Development and Sports, Mr Abdullah Tarmugi, as deputy chairmen. The IMC members include representatives from ministries, statutory boards and non-government agencies.

2 The IMC carried out a broad study of policies and programmes concerning ageing issues and elderly people. It developed recommendations in six key areas namely:- Social Integration of the Elderly, Health Care, Financial Security, Employment and Employability, Housing and Land Use Policies, and Cohesion and Conflict in an Ageing Society. The Committee released its report and Government gave in-principle approval for its recommendations in November 1999. The IMC It remains as a standing committee to oversee the implementation of its recommendations.

3 Since the release of the IMC report, various agencies have studied the recommendations under their respective purview, and where feasible, have drawn up plans to implement them. The key implementing agencies include the Ministry of National Development (MND), Ministry of Manpower (MOM), Ministry of Health (MOH), Ministry of Finance (MOF), Ministry of Community Development and Sports (MCDS), Ministry of Education (MOE) and the Land and Transport Authority (LTA).

4 Progress made on the implementation of the IMC recommendations has been good. Most of the key recommendations have been implemented. Overall, about 75% of the recommendations have either been implemented, or have seen significant progress in implementationfor which implementation plans are being worked out. Over For the past year, the major achievements are:-

5 MCDS has recently unveiled the 5-year Eldercare Masterplan which is expected to cost $93 million. This is a blueprint for the development of eldercare facilities and programmes in the community, taking into account the demographics and projected need in each community. Under the Masterplan, Multi-Service Centres and Neighbourhood Links will be developed to ensure integrated service delivery for the elderly and their families. There will be a continuum of programmes targeted at the healthy elderly, the frail elderly and their caregivers. Examples include developmental programmes for the healthy elderly, case management services and carer support services.

6 The Ministry of Finance has earlier announced that the tax reliefs for adults who live with aged parents will be increased to $5,000. This is in line with our efforts to provide more support to caregivers and to acknowledge their contributions.

7 MOH has set up the Eldercare Endowment Fund to help families defray the costs of health care for the elderly. The interest from the Fund will be used to finance operating subsidies to nursing homes, community hospitals, day rehabilitation, home medical and home nursing care. The Fund has a current capital of $500 million. This is expected to increase to $2.5 billion by 2010. MOH has also reviewed its subsidy scheme for nursing homes, and introduced subsidies on a sliding scale, so that families in greater need of assistance will receive a higher quantum of subsidy for long term care. Efforts are being made to develop manpower for the eldercare industry. This includes the development of the Healthcare Assistant programme in the Institute of Technical Education, and the Graduate Diploma in Geriatric Medicine.

8. The physical environment is an important factor that influences older people�s ability to stay in their homes and in the community for as long as possible. In this respect, MND has revised the HDB Act to allow for the provision of lift landings in HDB blocks that do not have common corridors. Standardised elderly-friendly features such as grab bars and non-slip bathroom tiles have also been included as optional items under HDB�s Main Upgrading Programme. To provide older Singaporeans with more choices in their housing arrangements, HDB will develop Studio Apartments in six locations throughout the island and integrate them within existing HDB estates. HDB has also introduced the "White Flats" as a pilot project in Punggol. These flats allow home owners the flexibility to modify the layout of their flats as their needs change over time to meet their changing needs.

9 Several changes have been made to the CPF system to help Singaporeans plan for financial security in their golden years. Starting January this year, the CPF Board will adopt the IMC�s recommendation to step up Special Account (SA) contribution rates from 4% to 8%, according to the CPF member�s age. This stepped increase would correspond more closely to the individual's income and expenditure pattern over his working life. CPF members below age 55 are now allowed to invest all SA funds in appropriate Long Term deposits. They are also allowed to invest Ordinary Account (OA) funds making up the Minimum Sum (MS) account in appropriate retirement-related financial instruments under the CPF Investment Scheme. In addition, the Ministry of Finance will be announcing the details of the Supplementary Retirement Scheme, which would enable Singaporeans to contribute voluntarily over and above their CPF savings.

10 The Central Singapore Community Development Council (CDC) is piloting the Golden Manpower Centre (GMC) which aims to provide job matching services for older residents within the community. The Centre will also source for employment opportunities for older residents.

11 The Ministry of Manpower has introduced initiatives to provide greater training opportunities, with reduced academic barriers, for older workers to enhance their employability. This includes the introduction of the National Skills Recognition System, which allows older workers to be trained through shorter modular courses, leading to certification.

12 A strong public education programme is key to achieve successful ageing in Singapore. MCDS has stepped up its public education programme to a year round effort to raise awareness and acceptance of the issues related to population ageing. The programmes will focus on inculcating a culture of personal responsibility and life-long planning. MCDS will work in close partnership with Voluntary Welfare Organisations and other stakeholders to widen the reach of the messages.

13 There are is a small number of recommendations that are still being studied by the implementing agencies. The issues relating to some of these recommendations are complex and require further studywider policy reviews. As such, the agencies concerned require a longer lead time to study the issues. The main outstanding recommendations are:-

1. Examine how to incentivise commercial operators to cater to the paying market at affordable rates

Currently, the majority of eldercare services in the community are provided by Voluntary Welfare Organisations. The IMC is of the view that there is scope for private operators to play a larger role in order to meet the increasing demand for such services as our population ages.

2. Establish an insurance against severe disabilities

This is in line with the need to ensure older Singaporeans are prepared for long term healthcare costs. An insurance scheme against severe disabilities promotes individual responsibility and will not exert pressure on the tax system and future generations of Singaporeans.

3. Adopt a "basic needs" CPF model where old age expenses is pegged at a subsistence level

The "basic needs" model recommended by the IMC requires a review on whether the current Minimum Sum is sufficient to cater for basic old-age living expenses. Beyond this basic level, every individual should ascertain his or her desired standard of living and make independent provisions.

4. Encourage the offer and take-up of portable medical insurance to reduce the medical costs of employing older workers.
5. Introduce full-day concessionary travel for senior citizens.

The IMC will continue to work closely with implementing agencies to follow up on these recommendations.

Secretariat

Inter Ministerial Committee on the Ageing Population

20 January 2001

Dr Ong Toon Hui

Director, Elderly Development Division

Ministry of Community Development and Sports

Tel: 354 8372

Handphone: 97733003

E-mail: Ong_Toon_Hui@mcds.gov.sg