$5 Billion into Rail Infrastructure Fund for new MRT lines

Following the announcement at the 2018 budget, $5 billion will be put into the Rail Infrastructure Fund, primarily to finance new transit projects: the MRT Jurong Region Line and MRT Cross Island Line.

Image result for mrt jurong region line
Initial Schematic of the MRT Jurong Region Line
Cross-Island Line Map
Initial Schematic of MRT Cross-island line. Source: LTA

Both projects are currently in their early planning phases and are expected to be completed in the early 2020s.

Finance Minister Heng Swee Keat has stated that the injection of $5 billion could be topped-up in the future if the government’s fiscal position allows.

In addition, state-owned enterprises (SOEs) have been allowed to issue bonds for the funding of infrastructure projects.

As such, the Land Transport Authority (LTA) is reportedly planning to borrow for the upcoming KL-Singapore High Speed Rail and the JB-Singapore Rapid Transit System Link.

The Changi Airport Group is also looking at borrowing to build Changi Terminal 5.

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