AI Grants
Government grants can cover up to 50% of a custom AI build for eligible SMEs. Most businesses find out about the rules after they've already broken one. This guide is the five-minute version, current as of July 2026.
Read This First
Grant applications must be submitted before you sign any contract or pay any deposit to your vendor. Enterprise Singapore treats a signed agreement as a "commenced" project, and commenced projects are ineligible. No exceptions, no backdating.
This is why we raise grants in the strategy session, before any paperwork exists.
The Grants
Each one links to the official source. Trust those pages over any summary, including this one.
Up to 50% of qualifying costs for SMEs
The Enterprise Development Grant funds bespoke work: automation, process redesign, and product development. Custom AI agents fall squarely here. There is no pre-approved vendor list; you choose your vendor and apply before signing.
Up to 50% of cost, pre-approved solutions only
The Productivity Solutions Grant covers packaged digital solutions from a pre-approved list, bought as-is with no customisation. Right for standard tooling; not the route for a custom AI build.
Consolidates EDG, PSG and MRA into one scheme
Announced in Budget 2026 and launching in the second half of 2026. Until then the current grants stay open, and larger custom projects may be better filed under today's EDG rules before the switch.
400% deduction on up to S$400,000 per year per activity
The Enterprise Innovation Scheme is a tax deduction, not a grant: qualifying R&D and staff training earn a 400% deduction from YA2024 to YA2028. It stacks with the above; your accountant claims it in the tax return.
Eligibility
The EDG basics, plainly. Every application is assessed case-by-case by Enterprise Singapore; meeting the checklist makes you eligible to apply, not automatically approved.
A business entity registered here, with real operations here.
Held directly or indirectly by Singaporeans or PRs.
Group annual sales of S$100 million or less, or group employment of 200 or fewer.
Grants reimburse after delivery; you fund the project first and claim back the supported share.
With InitD
EDG has no pre-approved vendor list, so custom AI-agent projects need no special vendor status. Our part is making your application easy.
The free strategy session maps the process, the outcome, and whether the project looks grant-eligible. Nothing is signed, nothing is paid, so nothing is disqualified.
You submit on the Business Grants Portal; we provide what the application needs: a concrete scope, deliverables, milestones, and a quotation broken down the way assessors expect.
We build once you have your answer. After delivery, your claim needs evidence that milestones were met; our documentation is written so the audit is boring.
Figures per Enterprise Singapore and IRAS as of July 2026 and may change. Grant awards are decided solely by the administering agencies. This page is general information, not financial advice.
Tell us the process that eats your team's week. We'll map the build, the returns, and the grant angle, before anything is signed.
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