Singapore GDP up 4.4% in Q1, full-year growth forecast at 2.5-3.5%

• May 24, 2018

SINGAPORE’S GDP (gross domestic product) grew 4.4 per cent in the first three months of 2018, with full-year growth expected to come in at “2.5 to 3.5 per cent” this year, said the Ministry of Trade and Industry on Thursday.

The MTI had previously expected Singapore’s 2018 growth to come in “slightly above the middle” of a forecast range of 1.5 to 3.5 per cent.

The 4.4 per cent figure for first quarter year-on-year growth is up marginally from initial estimates of 4.3 per cent, and faster than the 3.6 per cent growth in the preceding quarter.

It was led by the manufacturing sector, which surged 9.8 per cent, up from its 4.8 per cent expansion the previous quarter.

The MTI noted that the global economy has remained on a steady expansionary path since the start of the year, with global growth expected to improve slightly this year and the International Monetary Fund upgrading its growth forecasts for some of Singapore’s key final demand markets such as the US and the eurozone.

However, downside risks remain in the form of global trade tensions and possible financial vulnerabilities in emerging markets.

The MTI said its full-year growth forecast takes into account “the strong performance of the Singapore economy in the first quarter and the slightly improved external demand outlook”, barring the full materialisation of downside risks.

Source: https://www.businesstimes.com.sg/government-economy/singapore-gdp-up-44-in-q1-full-year-growth-forecast-at-25-35