EDG vs PSG Singapore: Key Differences and Which to Pick

TL; DR: Quick Summary

PSG and EDG both fund up to 50% of qualifying costs for SMEs, so the deciding factor is scope, not percentage.
Several guides still quote PSG at 80% and EDG at 70%, rates that expired on 31 Mar 2023.
Check the GoBusiness solutions directory first. A listed match usually makes PSG the faster, more affordable route.
Both schemes reject retrospective applications, so never pay a vendor or start work before you submit.
The EDGE grant, launching in the second half of 2026, will fold EDG, PSG and MRA into one scheme.

SMEs are eligible for up to 50% Productivity Solutions Grant (PSG) support for the adoption of SleekFlow, a Pre-Approved Solution under the IMDA SMEs Go Digital programme.

You've got a vendor quote in one hand and a grant consultant's pitch in the other, and both are telling you their scheme covers 50% of your project cost. That's true of the Productivity Solutions Grant (PSG) and the Enterprise Development Grant (EDG) alike, which is exactly why comparing them by percentage gets you nowhere.

PSG funds pre-approved, off-the-shelf solutions from a fixed vendor list, with a light application and a capped award. EDG funds bespoke, project-based transformation work, with a written proposal, a certified consultant, and no fixed cap. Since 1 Apr 2023, both sit at up to 50% of qualifying costs for SMEs, assessed case by case rather than guaranteed. The deciding factor is whether a suitable solution already sits on the PSG list.

What is the PSG grant?

The Productivity Solutions Grant (PSG) is a Singapore government scheme that funds up to 50% of the cost of pre-approved, off-the-shelf IT solutions and equipment listed on the GoBusiness solutions directory, capped at S$30,000 per company each financial year.

The list covers sector-specific and generic solutions: point-of-sale systems, HR software, digital marketing tools, and AI customer engagement chatbots. You pick a vendor from the list, get a quotation, and apply before you pay a cent.

PSG is only open to local SMEs: Singapore-registered, at least 30% local shareholding, and either group turnover under S$100 million or fewer than 200 employees. There's no non-SME tier.

What is the EDG grant?

The Enterprise Development Grant (EDG) is a Singapore government scheme that funds bespoke, project-based transformation work, up to 50% of qualifying costs for SMEs and up to 30% for non-SMEs, with no fixed cap and support assessed project by project.

EDG covers three pillars: core capabilities (finance, HR, strategy), innovation and productivity, and market access (overseas expansion, franchising). Qualifying costs stretch across third-party consultancy fees, software and equipment, and internal manpower.

Because there's no pre-approved list, you write the case yourself. That's the trade for a grant with no ceiling.

	PSG	EDG
What it funds	Pre-approved solutions, equipment and consultancy from a fixed vendor list	Bespoke projects across core capabilities, innovation, and market access
Support level, SME	Up to 50% of qualifying costs, assessed per application	Up to 50% of qualifying costs, assessed per project
Support level, non-SME	Not applicable, PSG is SME-only	Up to 30% of qualifying costs
Cap	S$30,000 per company each financial year	No fixed cap, assessed per project
Qualifying costs	The pre-scoped solution or equipment as listed	Third-party consultancy, software and equipment, internal manpower
What you submit	A vendor quotation	A written project proposal with expected outcomes
Consultant required	No	Yes for consultancy costs, a certified consultant (TR43 or SS680 accredited)
Typical assessment time	Around 6 weeks	Around 8 to 12 weeks
Claims and payout	Reimbursement via the Business Grants Portal after deployment, PayNow in about 14 working days	Milestone-based reimbursement after auditor verification, PayNow in about 14 working days
Worker outcomes commitment	Not required	Required, a projected impact on Singaporean or PR staff

The gap that matters most is row one. PSG hands you a menu, EDG hands you a blank page. Everything else on this table (timelines, consultants, claims) follows from that single choice.

Which grant fits your project?

Check the GoBusiness solutions directory first. If a solution that fits your need is already listed, PSG is almost always the faster and cheaper route. If nothing listed fits, or the work is genuinely custom, EDG is the path.

Choose PSG when

Your need a solution that is already on the directory, you want it running in months rather than quarters, and your budget sits comfortably inside a S$30,000 award.

Choose EDG when

The work is bespoke: process redesign, a custom system build, overseas expansion, or brand and strategy work. Project cost runs well past what PSG could cover, and you're prepared to fund it upfront and wait through milestone claims and an audit.

Choose neither yet when

Your project isn't scoped, or you've already paid a deposit or signed a contract. Both schemes reject retrospective applications: no payment before submission for PSG, no work commenced before approval for EDG. This is the failure mode that costs SMEs the most, and it's the one most guides skip.

Can you use both the EDG and PSG grants?

when to choose PSG or EDG grant and when not to use any at all

Yes. They're separate schemes with separate applications, so one company can hold both at once. The same cost can't be claimed under both; EDG requires the project not to have started, and PSG requires no payment or contract signed before submission, so sequencing matters more than eligibility.

Worth a mention while you're planning cash flow: eligible employers can also draw on the SkillsFuture Enterprise Credit (SFEC), a one-off S$10,000 credit covering up to 90% of out-of-pocket costs on top of existing scheme support. Final claims close on 30 Nov 2026, so check your own eligibility window rather than assume it.

What does the EDGE grant change?

The EDGE is a confirmed, announced scheme from Enterprise Singapore's Business Refresh Package, consolidating EDG, PSG and MRA into one activity-based application, targeted for the second half of 2026. It has a S$100,000-a-year cap for eligible activities (subject to case-by-case review), and is open to all Singapore-registered businesses, including non-SMEs, and overseas expansion support rising from 50% to 70% for SMEs and 30% to 50% for non-SMEs.

The practical answer: don't wait and waste the opportunity. Enterprise Singapore states existing schemes remain accessible until EDGE launches, and approved projects are honoured under existing terms.

A project you can scope now is better filed now than held for a scheme whose full criteria aren't public.

How SleekFlow helps you get more from a PSG or EDG-funded project

SleekFlow is the AI suite for revenue-driving conversations, listed on the GoBusiness directory for GenAI customer engagement solutions.

NNIO, a Singapore retailer of home appliances and cooling products, ran four disconnected teams answering customers across social media, its website, retail stores and the phone, and enquiries kept falling between them.

They consolidated every channel into one shared inbox, added AgentFlow AI agents for after-hours enquiries, and used Flow Builder to capture WhatsApp warranty registrations. The rollout itself drew PSG support for a GenAI customer engagement chatbot.

Results:

40% faster response times
2.6x repurchase rate
20% increase in completed checkouts

Read the full NNIO case study →

Getting your project grant-ready

Whichever grant fits, the paperwork rewards founders who scope the project before they touch a vendor or a proposal template. Get that sequencing wrong, PSG or EDG, and you're filing under "choose neither yet" no matter how good the project is.

Frequently Asked Questions

What is the main difference between EDG and PSG?

PSG funds pre-approved solutions from a fixed vendor list, with a light application and a capped award. EDG funds bespoke projects assessed individually, with no fixed cap but a written proposal and a certified consultant required. Both support up to 50% of qualifying costs for SMEs, so scope and effort separate them, not the funding rate.

Does EDG or PSG give more funding?

Both sit at up to 50% for SMEs. EDG can pay out more in absolute terms since it has no fixed cap and is assessed per project, while PSG is capped at S$30,000 a year. For a small software purchase, PSG usually returns more, faster, for far less effort.

Can I apply for both EDG and PSG?

Yes, they're separate schemes with separate applications. The same cost can't be claimed under both. Sequencing matters, because neither scheme supports work already started, so submit before signing contracts or paying deposits for either.

Is PSG being replaced?

PSG is being folded into EDGE, a unified grant announced under Enterprise Singapore's Business Refresh Package and targeted for launch in the second half of 2026. Until then, PSG remains accessible through the Business Grants Portal, and approved applications are honoured under existing terms.

Should I wait for the EDGE grant?

Generally, no. Support levels by activity and full qualifying criteria for EDGE haven't been published, while EDG and PSG remain open on known terms. Delaying a scoped project for an unpublished scheme trades a known outcome for an unknown one.

How long does each grant take to approve?

PSG applications typically take around 6 weeks with complete documentation. EDG typically takes 8 to 12 weeks, reflecting the proposal assessment. Both pay out as reimbursements, so budget extra months for deployment, claims and disbursement before funds arrive.

Do I need a consultant to apply for the grants?

Not for PSG, where a quotation from the listed vendor is what you need. EDG requires a certified consultant (TR43 or SS680 accredited) for consultancy costs. Grant consultants can help with either, but engaging one is a commercial choice, not a scheme requirement.

Which grant covers software?

Both can. PSG covers listed software as a pre-scoped solution. EDG covers software as a qualifying cost inside a wider approved project. If the software you want is already on the GoBusiness directory, PSG is the shorter path.

EDG vs PSG Singapore: which one is a better fit?