The worry is that citizens are putting off parenthood as they struggle with financial stress and job layoffs.
Details of the amount that could be paid have yet to be released. It is in addition to several hefty baby bonuses offered by the government.
Singapore has one of the lowest birth rates in the world, which it has struggled to boost for decades.
It is in stark contrast to some of its neighbours such as Indonesia and the Philippines, which are facing the prospect of a massive spike in pregnancies from their coronavirus lockdowns.