Singapore’s economic growth to remain at 2.5%, survey

Christopher Chitty7 Sep 2017

MAS Singapore

Analysts expect the Singapore economy to grow by 2.5 percent this year, unchanged from their previous forecast, according to a Monetary Authority of Singapore (MAS) survey.

For Q3 2017, gross domestic product (GDP) is expected to increase by 3.1 percent.

The quarterly survey of economists showed that the Singapore economy expanded by 2.9 percent in Q2 2017, up from the median forecast of 2.7 percent in the June survey.

The 21 respondents expect the manufacturing sector to post the highest growth rate this year at 6.6 percent, an improvement from the five percent growth forecasted previously.

However, they have slashed their growth forecast for the construction sector, which is predicted to contract by 4.2 percent, compared to the 0.2 percent growth expected previously.

Inflation is predicted to stand at 0.8 percent this year, down from the 0.9 percent forecasted previously. Core inflation, on the other hand, is predicted to stand at 1.6 percent, a slight increase from the 1.5 percent forecasted in June.

“As for the labour market, the respondents expect the unemployment rate to be 2.2 percent at year-end, lower than the previous survey,” said the report.

“For 2018, the respondents’ median expectation is for GDP growth to reach 2.5 percent.” Inflation is projected to stand at 1.4 percent and core inflation at 1.6 percent.

Meanwhile, 47 percent of the respondents cited “geopolitical uncertainty such as the North Korean stand-off” as a possible threat to the economy.

“A similar number view global trade protectionism as a potential hindrance to growth. A possible slowdown in Chinese economic activity was also a concern, for 41 percent of respondents,” revealed the survey.




You may also like these articles

All HDB blocks to have solar-ready roofs

Artist's impression of HDB blocks at Punggol Northshore, which will have solar-ready roofs. Source: HDBAll future public housing blocks with at least 400 sq m (4,306 sq ft) of open roof space will be

Continue Reading4 Sep 2017

CapitaLand building integrated development in Indonesia

Artist's impression of The Stature Jakarta. Source: CapitaLandSingapore-based CapitaLand is on track to complete its first integrated development in Indonesia, The Stature Jakarta, by end 2020.With a

Continue Reading6 Sep 2017

Keppel Land’s CEO wins another award

Keppel Land CEO Ang Wee Gee (left) receiving the Shanghai Magnolia Award from Zhang Xiaosong (right), Director of the Foreign Affairs Office of Shanghai Municipal Government. (Photo: Keppel Land)Keppe

Continue Reading7 Sep 2017