The certificate that allows you to own a car in Singapore has now jumped to a record high of $76,000. Owning a car in one of the world’s most expensive countries has always been a luxury. Now, the cost of the 10-year Certificate of Entitlement – a license residents should purchase before they are even allowed to buy a vehicle has jumped more than four times what it did in 2020, according to Land Transport Authority figures, CNN reported.
The certificate, which would set one back by 104,000 Singapore dollars, just buys the right to purchase a car, with a small to medium-sized engine of 1,600cc or below. Anyone who wants something bigger, like an SUV, will need to purchase a certificate worth $106,630. The Certificates of Entitlement are sold every two weeks in auctions and the government controls the number of certificates sold each time. This coupled with taxes and import duties makes owning a car an even more expensive affair.
The entitlement system was introduced in 1990 to minimise congestion and control emissions in the small island state. The nation, which boasts of an excellent public transport system has a population of 5.9 million.
As of 2022, the median income of a household in Singapore is $7,376 according to the Department of Statistics. With persistent inflation, rising costs of public housing and a slowing economy, living expense in the city-state has soared extraordinarily in recent years. Getting a permit to buy a motorbike in Singapore is relatively cheap at $7,930.
