The failed CPF scheme needs an urgent revamp: it affects ordinary citizens from cradle to grave.
About half of CPF returns had been ‘legally stolen’ by the PAP government. This was confirmed by none other than LKY himself.
In 2006, LKY disclosed: “Over a period of 25 years to March 2006, the annual rate of return on the foreign reserves managed by GIC averaged 9.5% in US dollar terms, and 8.2% in Singapore dollar terms.”
During this period, CPF interest rates fluctuated between 6.5% to almost 2%, averaging about 4%. Since GIC’s 25-year return in S$ was 8.2%, the PAP had therefore ‘legally stolen’ half of CPF returns between 1981 to 2006.
By boasting about GIC’s ‘impressive’ performance as if it were true, LKY had in fact confirmed that CPF members had been screwed for 25 years.
CPF members could continue to deny their demi-god did no wrong. But that would also mean giving the green light for our children to end up with the same fate. 😦