The Singapore economy grew by 0.1 percent in the third quarter on a year on year basis. Ministry of Trade and Industry made the estimate on 14th October. But this growth is below 0.3 percent, the growth expected by economists in a Reuters poll. Gross domestic product (GDP) increased by 0.6 percent on a quarter on quarter seasonal adjustment. It is recovering from the previous quarter’s 2.7 percent drop.
This growth of 0.1 percent is hinting that the SGP is avoiding the technical recession and defining the two consecutive quarters of economic contraction. Data SGP shows that the manufacturing sector has declined by 3.5 percent on a year on year basis in the third quarter and extended the 3.3 percent contraction in the previous quarter.
The contraction is due to the decline in electronics, precision engineering, and transport engineering clusters. It is also affecting output expansions in the chemicals, biomedical manufacturing, and general manufacturing clusters.
The construction sector grew by 2.7 percent on a year on year basis in the third quarter and it extended the 2.8 percent expansion in the last quarter. Industries also expanded by 0.9 percent in the third quarter after 1.1 percent growth in the last quarter.