SINGAPORE- Singapore’s economy is expected to have grown 0.9 percent in the first quarter on a year-on-year basis, an improvement from earlier estimates, due to stronger-than-expected performance in the manufacturing sector, according to a Reuters poll of economists.
That compares with a 0.2 percent rise in gross domestic product in the government’s advance estimates.
Singapore’s central bank expects economic growth to exceed the upper end of the official 4—6 percent forecast range, recovering from the recession induced by the COVID-19 pandemic in 2020, its worst on record.
“The significant upgrade takes into account the March industrial production performance…and we think there is more upside from trade-related services sectors,” said Alex Loo, macro strategist at TD Securities.
This year’s GDP growth will continue to be driven by the manufacturing and trade-related services sectors, he said.
The city-state is often seen as a bellwether for global growth as international trade dwarfs its domestic economy.
Industrial production in April is forecast by economists to expand 3.4 percent on year, the sixth straight month of increase and following a better-than-expected 7.6 percent rise in March. The latest data is due on Tuesday.
