Foreign Property News | Posted by Si Thu Aung
Singapore’s economy experienced the slowest growth in a decade last year, growing by a marginal 0.7%. This pales in comparison to the 3.1% growth recorded in 2018, reported Channel News Asia, according to Bloomberg data.
The Ministry of Trade and Industry (MTI) said that GDP for the final three months of 2019 grew by 0.8% from the same period in 2018, which is a slight improvement from the revised 0.7% growth for the third quarter.
Manufacturing decreased by 2.1% on a year-on-year basis in the fourth quarter, compared to the third quarter’s 0.9% decrease.
The services-producing industries recorded a 1.4% expansion from a year ago, which is quicker than the 0.9% growth reached in the third quarter. Meanwhile, construction expanded by 2.1% on a year-on-year basis for the fourth quarter, compared to the 2.4% growth in the previous three months.
Singapore’s economy slowed down in 2019 in the midst of a trade war between China and the US as well electronics sector going through a cyclical downturn.
“Our 2020 GDP growth forecast remains at 1 to 2 per cent year-on-year, assuming that the manufacturing recovery remains in ‘fits and starts’ pattern but with the services and construction sectors continuing to tread a firmer growth trajectory.” said Selena Ling, head of treasury research and strategy for OCBC.
Economists are also closely watching the upcoming Budget 2020, to be delivered on 18 February by Deputy Prime Minister and Finance Minister Heng Swee Keat.
Ref: Property Report
