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PSG vs EDG for Digitalisation: Which Grant Should a Singapore SME Use?

Advanced Consultancy24 July 20265 min read

When it is time to digitalise, the most common grant question is PSG or EDG. They fund very different kinds of digital projects. Here is how to pick.

The core difference

It comes down to off-the-shelf versus custom. The PSG funds pre-approved, ready-made productivity tools you adopt as-is. The EDG funds larger, tailored projects where technology is part of a broader capability or process transformation.

PSGEDG
Best forAdopting a specific ready-made toolCustom or broader transformation
Solution typePre-approved, off-the-shelfTailored to your business
Typical supportUp to 50%, cappedUp to 50% (SME)
SpeedFaster, simplerMore involved, scoped project

Choose the PSG when...

You already know the specific tool you want — accounting software, a booking or POS system, an inventory tool, or an off-the-shelf AI tool from the approved list. It is the faster, simpler route for a defined purchase.

Choose the EDG when...

The project is bigger than buying a tool — you are rethinking a process, building something custom, or the technology is one part of a wider strategy or capability change. The EDG is built for projects with outcomes, not products.

A simple test: if you can name the exact product you want to buy, it is probably PSG. If the answer is “it depends what we design”, it is probably EDG.

Can you use both?

Often yes, in sequence — use the EDG to design a transformation, then the PSG to adopt specific tools it calls for. Note that both are among the schemes folding into the new EDGE grant in 2026, so check the current position. For the full picture, see our 2026 grants map.

The short version

Use the PSG to adopt a specific off-the-shelf digital or AI tool, and the EDG for custom or broader digital transformation. If you can name the exact product, it is usually PSG; if it depends on what you design, it is usually EDG. Both are being consolidated into EDGE in 2026.

Answers
Frequently asked
Should I use the PSG or EDG for a digital project?
Use the PSG to adopt a specific, pre-approved off-the-shelf tool, and the EDG for a custom or broader transformation where technology is part of a wider capability change. If you can name the exact product you want to buy, it is usually PSG.
What is the difference between PSG and EDG?
The PSG funds ready-made, pre-approved productivity tools adopted as-is, up to 50% and capped. The EDG funds larger, tailored projects with defined outcomes, up to 50% for SMEs. PSG is off-the-shelf; EDG is custom.
Can I use both the PSG and EDG?
Often yes, in sequence, for example using the EDG to design a transformation and the PSG to adopt the specific tools it requires. Both are being consolidated into the EDGE grant in 2026, so confirm the current position.

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