Financial Times FT.com

Singapore may tap reserves amid recession

By John Burton in Singapore

Published: January 19 2009 06:36 | Last updated: January 19 2009 06:36

Singapore has signalled that it will adopt a carrot-and-stick approach in dealing with possible public unrest as the city-state enters would could be its worst post-war recession by increasing spending and tightening laws against political protests.

Goh Chok Tong, Singapore’s senior minister, suggested that the government will tap government reserves for the first time to increase spending in this year’s budget in an effort to save jobs.

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