Singapore's economy increased 3.9 per cent year on year in the second quarter (Q2), easing from the 4.5 per cent growth in the first quarter, the Ministry of Trade and Industry (MTI) announced on Monday.
On a quarter-on-quarter seasonally-adjusted annualised basis, the economy expanded at a slower pace of 0.6 per cent compared to the 2.2 per cent growth in the first quarter, the ministry said.
In a breakdown, the manufacturing sector grew by 10.2 per cent year on year, the construction sector contracted by 4.6 per cent, the wholesale and retail trade sector expanded by 1.5 per cent, the transportation and storage sector rose by 1.3 per cent, the accommodation and food services sector grew by four per cent.
The information and communications sector expanded by 5.2 per cent, the finance and insurance sector grew by 6.7 per cent while the business services sector grew by 2.1 per cent.
The country’s other services industries grew by 0.7 per cent, reports Xinhua.
Looking ahead, the MTI said several of the country’s key final demand markets are expected to see moderated growths in the second half of the year, and uncertainties and downside risks in the global economy have increased.
Therefore, MTI forecasts the pace of expansion in Singapore's economy is expected to moderate in the second half of 2018, following the strong performance in the first half.
Meanwhile, outward-oriented sectors will remain as main engine to support the city-state's growth.
It added that considering the global and domestic economic environment, as well as the performance of the Singapore economy in the first half of the year, the GDP growth forecast for 2018 is maintained at 2.5 to 3.5 per cent.