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The word “hongbao” comes from the Chinese word 红包 (hóngbāo), which literally means “red bag. The significance lies in the red paper, which symbolises good luck and health, prosperity and happiness. On the eve of Lunar New Year or the day itself, it is customary for children and grandchildren to convey best wishes to their parents and grandparents who would in turn give red packets to them as a form of blessings.
In Singapore, the giving and receiving of a red packet is a gesture of appreciation and symbolic of the close bonds that people share. The younger generation is adding their own flair to the Red Packets by bringing out trendier designs and sometimes even adding memorable touches such as poems on them.