EDGE Grant Singapore 2026: What It Is, How It Replaces PSG, and What SMEs Must Do Now

The EDGE (Automation & Digitalisation) grant is IMDA's new consolidated digital grant scheme for Singapore SMEs, replacing the existing PSG Digitalisation and Automation tracks under SMEs Go Digital. It officially went live for Generic sector solutions on 30 June 2026.

If you've been using the Productivity Solutions Grant (PSG) to fund your digital tools — your CRM, accounting software, HR system — you need to understand EDGE. This isn't just a rebrand. IMDA has redesigned how packages work, introduced a new application workflow, and made flexible package configuration available for the first time.

This article covers what EDGE is, how it differs from the old PSG process, what's changed as of mid-2026, and what Singapore SMEs need to do right now.

What Is the EDGE Grant in Singapore?

EDGE stands for Automation & Digitalisation and sits under IMDA's SMEs Go Digital programme. It is the successor framework consolidating what were previously separate "PSG Digitalisation" and "PSG Automation" tracks into a single scheme.

Like PSG before it, EDGE co-funds the cost of pre-approved digital solutions for Singapore SMEs. The grant supports up to 50% of qualifying costs, with caps set per solution category. The key difference is in how solutions are packaged and how SMEs apply.

Under PSG, vendors listed a fixed set of packages — say, Package 1 for 5 users, Package 2 for 10 users — and SMEs picked the closest option. If a company had 7 users, they either over-bought Package 2 or under-served their team with Package 1. IMDA's internal data showed this was leading to over-procurement, solution mismatch, and adoption drop-off after the grant period.

EDGE introduces flexible packages — a structure where fixed base packages can be extended with variable cost add-ons (additional user licences, extra man-days of professional services, additional training) configured at the point of application. SMEs can now right-size their solution to their actual headcount and needs.

How Does EDGE Differ from PSG?

Feature	Old PSG Process	EDGE (2H 2026)
Package structure	Fixed packages only	Fixed base + up to 5 variable add-ons
Application portal	BGP 1.0	BGP 2.0 (via Package Builder)
Package configuration	No customisation	Configure in Package Builder, get Package ID
Unit of measurement	Free-text (vendor fills in)	Standardised drop-down list
Qualifying cost calculation	Shown in Annex 3	Calculated in Package Builder
SME flexibility	Low	High

The core mechanics stay the same: IMDA maintains a list of pre-approved vendors and solutions, SMEs select from that list, apply for the grant, and receive co-funding. But the user experience — and the flexibility available to SMEs — has changed significantly.

What Are the Key Changes in EDGE 2H 2026?

IMDA's 29 June 2026 briefing to pre-approved vendors outlined three major structural changes:

Change 1: Flexible Packages (Variable Cost Items)

Vendors can now designate up to 5 variable cost items on top of their existing fixed packages. These add-ons must be already reflected in the vendor's existing packages — they're not net-new items, but components extracted and made configurable.

Examples of valid variable cost items:

• Additional software licence per user
• Additional man-day of professional services
• Additional man-day of training

Example from IMDA's briefing: A CRM vendor with a base package for 10 users at S$3,600 can now allow an SME with 12 users to add 2 additional user licences at S$50 each, plus an extra PS day at S$500, making the final package S$4,700. Previously, that SME would have had to buy a larger, more expensive fixed package.

Limitation to note: As of June 2026, variable cost items must be associated with cost items that already exist in the vendor's fixed scope packages. You cannot add net-new modules, hardware categories, or AI API subscriptions as variable items if they weren't part of the original packages.

Change 2: Package Builder Workflow

SMEs no longer apply directly for the grant. They first go to SMEsGoDigital.gov.sg, configure their package using the new Package Builder, and receive a Package ID. They then use that Package ID — together with the vendor's quotation — to apply for the grant via the new EDGE Form in BGP 2.0.

Package IDs are valid for 1 month from generation.

Change 3: UOM Standardisation

Unit of measurement fields, previously free-text (vendors wrote whatever they wanted), are now standardised drop-down lists. This sounds minor but eliminates inconsistencies that caused application errors.

Who Is Affected by the EDGE Rollout?

Singapore SMEs using or planning to use pre-approved digital solutions are affected. If you're applying for a grant to fund any of the following solution categories, this change applies to you:

• AI Accounting Automation
• Applicant Tracking System
• Carbon Management Solution
• Chatbots for Customer Engagement
• CRM (Customer Relationship Management)
• E-loyalty & Marketing Automation
• Field Service Management
• Fleet Management
• Fleet Safety Management
• Marketing & Sales Content Generation
• Multi-channel E-commerce Software
• HR Information System
• And more under the Generic Sector category

These Generic Sector solutions became Flexi-activated on 30 June 2026. Other solution categories (HR solutions, Digital Marketing & eCom, 3-in-1 Accounting/Inventory/Sales) were activated in earlier phases starting May 2026.

Important Dates for Singapore SMEs in EDGE 2026

Date	Event
30 June 2026	Flexi activated for Generic Sector solutions
13 July 2026	Deadline for vendors to submit Flexi-CR (Change Request)
End-August 2026 onwards	IMDA issues Letters of Verification (LOV) to vendors
End-September to October 2026	EDGE Go-Live and BGP migration

The most important date for SMEs applying for digital grants right now: if you're mid-application or planning to apply for PSG in the next few weeks, hold off until your vendor confirms their Flexi-CR status. Vendors who miss the 13 July deadline cannot have their solutions processed until October 2026.

How Much Is the EDGE Grant?

The co-funding rate remains up to 50% of qualifying costs, with caps set per solution category by IMDA.

How the cap works under flexible packages: if a solution category has a qualifying cost cap of S$5,000, and an SME configures a package worth S$7,000 using variable add-ons, the grant is still capped at 50% of S$5,000 = S$2,500. Adding variable cost items does not increase the grant ceiling — it increases your flexibility to right-size the solution, not to inflate the claim.

The exact qualifying cost caps per category can be verified on the SMEs Go Digital portal.

EDGE vs EDG: Don't Confuse the Two Grant Schemes

This is worth clarifying because the names are similar:

EDGE (Automation & Digitalisation) — IMDA's digital solutions grant under SMEs Go Digital. Co-funds pre-approved off-the-shelf software and tech solutions. 50% co-funding on qualifying costs. For buying/subscribing to pre-approved digital tools.

EDG (Enterprise Development Grant) — EnterpriseSG's grant for business capability development, innovation, and overseas expansion. Up to 50% on qualifying project costs. For consulting, capability building, market access projects. Requires an external consultant (PMC-certified consultants like Nick Tung, PMC-10960, are eligible to work on EDG-funded projects).

If you want to digitalise by buying a pre-approved CRM or accounting tool → EDGE / PSG. If you want to build AI capabilities, redesign your business model, or expand overseas with expert guidance → EDG.

Many Singapore SMEs combine both: use EDGE to fund software adoption, and EDG to fund the AI transformation strategy and implementation consulting that maximises the software's value.

What Singapore SMEs Should Do Right Now

1. Check whether your shortlisted vendor has submitted their Flexi-CR. Ask the vendor directly: "Have you submitted your Flexi-CR on the VMP for the EDGE rollout?" If they haven't and your application is in-flight, it may be paused.

2. Prepare to use the Package Builder. When EDGE goes live in BGP 2.0 (October 2026), your application starts on SMEsGoDigital.gov.sg — not BGP directly. Have your headcount, number of licences needed, and PS/training days requirements ready before you configure.

3. Don't assume your existing PSG quotation is still valid. If you received a vendor quotation before the Flexi-CR rollout, confirm with the vendor that it reflects the new Flexi package structure before submitting.

4. Stack your grants. EDGE (software) + EDG (consulting) is a legal and common combination. A PMC-certified AI consultant can help you extract maximum value from the tools your EDGE grant funds, with the consulting engagement itself potentially EDG-supported.

If you want help understanding which grants your business qualifies for and how to stack them effectively, book a free 30-minute advisory call with Nick Tung, Practicing Management Consultant (PMC-10960, SBACC).

Frequently Asked Questions About EDGE Grant Singapore

Is EDGE the same as PSG? EDGE (Automation & Digitalisation) is IMDA's new consolidated name for what were previously the PSG Digitalisation and Automation tracks under SMEs Go Digital. The co-funding rate (50%) stays the same. The main changes are in how packages are structured (flexible packages) and how SMEs apply (via Package Builder + BGP 2.0).

When does EDGE go live? EDGE's full migration to BGP 2.0 is targeted for end-September to October 2026. In the meantime, vendors are updating their solutions through the Flexi-CR process (deadline 13 July 2026), and SMEs should check with vendors on their compliance status before submitting new applications.

Can I still apply for PSG the old way? As of 30 June 2026, Generic Sector solutions are Flexi-activated. Applications for these solutions that aren't Flexi-compliant will not be processed until October 2026. For in-flight applications, IMDA's PA Ops will return them to vendors for updates.

What happens if a vendor hasn't submitted their Flexi-CR by 13 July 2026? Their solution will be suspended or delisted. SMEs with applications tied to non-compliant vendor solutions will not be able to progress those applications until October 2026 when the new EDGE BGP 2.0 goes live.

Does the 50% grant rate change under EDGE? No. EDGE maintains the 50% co-funding rate on qualifying costs, subject to caps per solution category set by IMDA.

What is BGP 2.0? BGP 2.0 is the new Business Grants Portal where SMEs will submit EDGE grant applications. Under the new workflow, SMEs first configure their package on SMEsGoDigital.gov.sg (via Package Builder) to receive a Package ID, then submit the EDGE Form in BGP 2.0 using that Package ID and their vendor quotation.

Can I still use my PSG-funded solution if my vendor misses the Flexi-CR deadline? Yes — existing approved PSG solutions continue to operate. The Flexi-CR deadline affects new applications and changes to packages, not active grant agreements already approved.

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This article is based on IMDA's VMP Flexi-CR vendor briefing dated 29 June 2026. Grant policies and deadlines are subject to change. Verify current details at SMEsGoDigital.gov.sg or contact IMDA at SME_Pre_Approval@imda.gov.sg. Nick Tung (PMC-10960) is a Practicing Management Consultant accredited by SBACC — not an IMDA or EnterpriseSG representative.