What is PSG

The Productivity Solutions Grant (PSG) is an initiative under the SME GO Digital program to support companies in adopting IT solutions and equipment to enhance business processes.

What is covered

The PSG supports businesses in the adoption of IT solutions/equipment/consultancy service that improve productivity.

Approved solutions are eligible for subsidies up to 50% (capped at S$30,000 per company per financial year).

Who can apply

Entities can apply for PSG if they meet the following criteria:

• Registered and operating in Singapore;
• Purchase/subscription/lease of the IT solutions must be used in Singapore;
• Have a minimum 30% local shareholding and Company's Group annual sales turnover should not be more than S$100 million, OR Company's Group employment size should be no more than 200 employees;
• Not a Charity/Institution of Public Character (IPC), Religious entity, Voluntary Welfare Organisation (VWO), Government agency/subsidiary, Society.

How to apply

1. Obtain a quotation for the pre-approved IT solution.
2. Submit the PSG application online via Business Grants Portal. SMEs need not accept the quotation at this stage.
3. Once the application has been submitted, you may purchase, setup and start using the IT solution without waiting for approval.
4. PSG applications will be approved in about 2 to 6 weeks usually.
5. Submit your claim online to receive the approved funding.

How many PSG grants can a company apply for

Companies can put in more than one PSG application depending on business needs. However, support can only be extended for one package per solution category per deployment location.

Supportable applications are:

• The purchase of one unit of either an equipment/IT solution per deployment;
• Subsequent purchase of the IT solution to be deployed at a different location.

This means that if the Applicant applies subsequently (i.e. after the first application) for the same IT solution to be deployed at the same location, this application will be rejected.

What can SFEC be used for?

The $10,000 credit can be used for the following 2 categories.

1. Enterprise transformation

Programmes that support enterprise transformation.

• Productivity Solutions Grant (PSG)
• Enterprise Development Grant (EDG)
• Market Readiness Assistance (MRA)

Companies that have successfully received partial funding through the above programmes, can further claim up to 90% of the unfunded portion. However, only a maximum of $7,000 SFEC credit can be used under this category.

2. Workforce transformation

Job redesign initiatives, and curated training programmes by SkillsFuture Singapore and Workforce Singapore, such as training courses aligned to the Skills Framework, Professional Conversion Programmes and sector-specific programmes.

Who is eligible for SFEC?

From 1 January 2021 ,employers must meet the following conditions over the qualifying period:

• Have employed at least three Singapore Citizens (SCs) or Permanent Residents (PRs) every month over the qualifying period; and
• Have not been previously qualified for SFEC; and
• Are not in default of their SDL contributions during the qualifying period and do not have an inactive ACRA status during qualification.
• There is no need to apply for SFEC. Your credit will be automatically used on supportable programmes that you have applied for.
• Final claims for SFEC-supportable programmes (e.g. PSG claim) must be submitted to the respective agencies by 30 June 2025.
• Find out more at this link.