Singapore – The economy of Singapore experienced a 2.2% year-on-year growth in the fourth quarter of last year, official data released on Thursday showed. Although this growth fell short of both the advance estimates of a 2.8% growth and Reuters’ expectations of a 2.5% growth, it marks a significant increase from the 1% growth in the previous quarter.
On a quarter-on-quarter seasonally-adjusted basis, Singapore’s economy expanded 1.2% in the fourth quarter, slightly better than the 1% growth in the third quarter, according to the Ministry of Trade and Industry. Overall, the Singapore economy grew 1.1% in 2023, slower than the 3.8% expansion in 2022. This growth in 2023 was largely driven by information and communications and transportation and storage sectors.
The GDP growth forecast for 2024 was maintained at 1% to 3%, the ministry reported. Growth in the information and communications sector came in at 4.7% year-on-year, slower than the 6% growth in the preceding quarter, while the finance and insurance sector saw a 5.4% year-on-year growth, faster than the 2.5% growth in the previous quarter.
Despite these figures, the Monetary Authority of Singapore mentioned in its January forecast that the country’s economy is expected to strengthen this year, barring further global shocks. This is an ongoing story and will be updated as more information becomes available.