Singapore’s economy in the next quarter of 2019 is estimated to have expanded much greater than initially anticipated and will probably stabilise in the forthcoming quarters, aided by a recovery in manufacturing, reported Thomson Reuters.
A survey conducted by Reuters covering 13 economists revealed that final gross domestic product (GDP) in Singapore will likely have increased a seasonally adjusted and annualised 2.1percent by the second quarter. This is greater than the 0.6percent increase in the government’s advance estimates.
The market saw a contraction of 2.7percent in the quarter earlier.
“Final third-quarter GDP is anticipated to be materially upgraded. Manufacturing came in much stronger than expected in September and services expansion probably picked up speed, particularly in finance, company and tourism-related services,” said Lee Ju Ye, Maybank Kim Eng economist.
By the prior year, economic growth is seen to be more adjusted to 0.5 percent, greater than the 0.1% indicated at advance estimates and the quarter earlier.
The nation’s expansion will also probably stabilise from the fourth quarter and recover next year.
“The pressure between the near-term stabilisation if not small pick-up in trade and lacklustre global capex remains, restricting the upside down to final demand,” said Sin Beng Ong, JP Morgan economist.