PSG Grant Singapore 2026: Up to 50% Funding

The Productivity Solutions Grant (PSG) helps Singapore companies improve productivity through pre-approved IT solutions and equipment. PSG grants are among the most accessible government funding options for SMEs, offering up to 50% support with just 6 weeks processing time.

PSG Grant Quick Answer

The PSG grant is for Singapore SMEs buying pre-approved IT solutions or equipment. Check the PSG scheme page for eligibility, use the GoBusiness pre-approved vendor list to shortlist solutions, then apply through the Business Grants Portal before signing a contract or paying a vendor. If the project is custom software or transformation work, compare EDG instead.

What Is the PSG Grant?

PSG is a grant by Enterprise Singapore that covers up to 50% of eligible costs for adopting pre-approved productivity solutions — capped at S$30,000 per application. It targets SMEs looking for fast-track productivity improvements with pre-vetted solutions and the fastest grant processing time.

Key distinction: PSG only covers pre-approved solutions from the GoBusiness catalog. You cannot use PSG for custom-built software — that requires EDG.

How PSG Compares

Who Qualifies for PSG?

Quick eligibility check — you need ALL of these:

Your company must be registered and operating in Singapore with at least 30% local equity held by Singaporeans and/or PRs. You must meet the SME size limit — either group annual turnover of S$100M or fewer than 200 employees.

The IT solution or equipment must be deployed and used in Singapore. You must NOT have made any payment or deposit to the vendor before application submission — this is strictly enforced with no exceptions. Charities, IPCs, religious entities, VWOs, government agencies, and societies are excluded.

How Much Funding Do You Get?

Worked Example

Scenario: Your F&B business wants a POS system (S$18,000) and cloud accounting (S$8,000).

Note: The S$30,000 annual cap is shared across all PSG applications in the same calendar year. You can apply for additional solutions up to S$4,000 remaining.

What’s Covered

PSG covers pre-approved IT solutions (sector-specific and generic), productivity-enhancing equipment, and pre-approved consultancy services. All must be selected from the official GoBusiness Gov Assist catalog. See our PSG Pre-Approved Solutions Guide for how to find and select the right vendor.

What’s NOT Covered

Administrative fees, delivery fees, installation charges, and ongoing maintenance are excluded.

How Do You Apply?

1. Find pre-approved solutions — browse the GoBusiness Gov Assist catalog for solutions matching your needs.
2. Get a quotation — request a quotation from an approved vendor; for IT solutions, ensure it matches Annex 3 specifications.
3. Prepare documents — gather financial statements (3 years), vendor quotation, and business impact description.
4. Apply on BGP — log in with Corppass, complete the application form, upload documents, and submit.
5. Receive Letter of Offer — if approved, review conditions and accept within the given timeline.
6. Complete the project — purchase/subscribe to the solution, deploy for at least 30 days, and pay the vendor in full.
7. Submit claims — upload invoice, payment proof, usage report, and license/serial number photos.
8. Receive disbursement — PayNow Corporate within 14 working days, or GIRO up to 8 weeks.

Claims Process

PSG operates on a reimbursement basis with no audit required. Before claiming, your solution must be deployed for at least 30 days, you must have paid the vendor in full, and the claim due date must not have passed.

Required documents for all claims: invoice (addressed to ACRA company name) and payment proof (showing payer, payee, date, amount). IT solutions also require a usage report (1 month of use) and photo of software license number. Equipment claims need a photo of the equipment serial number.

When Will You Receive the Funds?

No action required for disbursement setup — but ensure PayNow Corporate or GIRO is configured before submitting claims.

How Does PSG Interact With Other Grants?

• PSG + EDG: You cannot claim both for the same solution or cost item. However, you can use PSG for pre-approved tools (e.g., accounting software) and EDG for custom transformation projects — as long as there is no overlap.
• PSG + CIT Rebate: Independent. PSG grant income is not taxable. The Budget 2026 CIT rebate applies separately to your corporate tax bill.
• Multiple PSG applications: All share the S$30,000 annual cap. Plan applications across calendar years if your total needs exceed S$30K.

What Should You Do Next?

1. Browse the GoBusiness catalog — find pre-approved solutions matching your needs
2. Get 2-3 vendor quotations — ensure each matches the Annex 3 package specification exactly
3. Verify your ACRA company name — the name on all documents must match your ACRA registration precisely
4. Set up Corppass — you need BGP access to submit your application
5. Submit on BGP before making any payment — pre-payment automatically disqualifies your application, no exceptions

Frequently Asked Questions

Am I eligible for PSG grants?

You’re eligible for PSG grants if your company is Singapore-registered, has at least 30% local ownership (Singaporean/PR), and meets the SME size criteria (turnover ≤ S$100M or ≤ 200 employees). The solution must be used in Singapore, and you must NOT have paid the vendor before applying. Charities, VWOs, religious entities, and government bodies are excluded. See the full eligibility requirements above.

What is the maximum funding I can get from PSG?

PSG covers up to 50% of eligible costs, capped at S$30,000 per application. This annual cap resets based on your application submission date.

How long does PSG approval take?

PSG has the fastest processing time among Singapore government grants — typically 6 weeks from submission to approval, compared to 8-12 weeks for EDG or MRA.

Can I apply for PSG if I’ve already paid the vendor?

No. You must NOT make any payment or deposit to the vendor before your PSG application is approved. Pre-payment automatically disqualifies your application — this is a strict requirement with no exceptions.

What’s the difference between PSG and EDG?

PSG is for adopting pre-approved IT solutions (faster 6-week approval, simpler process, capped at S$30k). EDG is for custom transformation projects (8-12 week approval, no cap, requires TR 43/SS 680 certified consultants). Use PSG for standard productivity tools; use EDG for bespoke business transformation.

Can I submit multiple PSG applications?

Yes, but they share the S$30,000 annual cap. You can submit multiple applications for different pre-approved solutions as long as your total approved amount stays within the cap for that qualifying period.

Do I need a consultant to apply for PSG?

No. PSG applications are straightforward and don’t require external consultants. You apply directly through the Business Grants Portal (BGP) with quotations from pre-approved vendors listed on GoBusiness Gov Assist.

How do I find a PSG grant vendor?

All pre-approved vendors are listed on GoBusiness Gov Assist. Browse by sector or function, compare vendors, and request demos before selecting. Our PSG Pre-Approved Solutions Guide explains what to look for in a PSG grant vendor.

Can I use PSG for my e-commerce business?

Yes. PSG covers 29 pre-approved e-commerce solutions including online store platforms, inventory management, and CRM tools. See our PSG Ecommerce Grant Guide for the full vendor comparison and application steps.

Can I combine PSG with other government grants?

You cannot claim PSG and another grant (like EDG) for the same solution or cost item. However, you can use PSG for one solution and EDG for a separate project — as long as there is no overlap between the two claims.

What happens if my project costs more than S$60,000?

At S$60,000, you hit the maximum S$30,000 PSG benefit. For larger projects, consider splitting across calendar years, using EDG for the custom components, or phasing your implementation.

PSG vs Other Grants

Quick Decision

Is there a pre-approved solution in the GoBusiness catalog that fits your needs?

Y

Yes, catalog has what I need

PSG is your best choice

Faster approval (6 weeks), no audit required

N

No, I need something custom

Consider EDG instead

Supports custom solutions, higher funding cap

Choose by Goal

PSG

Adopt pre-approved IT solutions

50% funding, S$30k cap, 6-week approval

EDG

Custom transformation projects

Up to 70% funding, no cap, 8-12 weeks

MRA

Overseas market expansion

50% funding, trade fairs & overseas BD

Related Guides

• How to Choose? PSG vs EDG vs ADS — comprehensive 3-way comparison including advanced digital solutions

• PSG Quick-Start Checklist

• PSG Pre-Approved Solutions Guide

• PSG Solutions for All Industries — cross-industry PSG solutions directory

• PSG Annex 3 Explained — match quotation to Annex 3 exactly

• PSG Documents Checklist

• PSG Pitfalls That Get Applications Rejected

• PSG vs EDG: How to Choose?

• Grant Pitfalls Guide — common mistakes to avoid

• Singapore Grants Glossary — key terms and definitions

• Corppass Setup Guide — how to set up BGP access

• F&B Kitchen Automation (PSG) — kitchen equipment and automation grants

• F&B AI Restaurant Management — AI-powered restaurant systems

• Hospitality Operations (PSG) — hotel and hospitality automation