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The plan to raise GST by two percentage points, from 7 per cent to 9 per cent, was first announced in 2018 during then-Finance Minister Heng Swee Keat’s Budget speech. At the time, he said that the hike would take place sometime from 2021 to 2025.
In his New Year message last month, Prime Minister Lee Hsien Loong said the Government would have to "start moving" on the planned hike in Goods and Services Tax (GST) in Budget 2022 as the economy emerges from the pandemic.