Singapore’s growth slows to 1.3%

Reading Time: 1 minute

Singapore terminalThe trade-dependent city-state of Singapore saw its economic growth slow to 1.3 per cent in 2012, a substantial drop from the 5.2 per cent it expanded in 2011, mainly due to uneasy external trade factors and erratic manufacturing output.

The country’s Ministry of Trade and Industry has, however, maintained a stable outlook for 2013 GDP growth, which is forecast at between 1 per cent and 3 per cent. The economy grew 1.5 per cent in the fourth quarter of 2012 on a year-on-year basis, by fell compared to the third quarter.

A main source to Singapore’s economic machine, the manufacturing sector, reversed from a contraction of 16.6 per cent in the third quarter to grow 3.1 per cent in the fourth quarter of 2012 on a quarter-by-quarter basis, largely due to the rebound in the output of biomedical manufacturing and transport engineering clusters.

Weak exports and a slowdown in the manufacturing sector are the major cause to the Singaporean economy’s sickly performance, with the country just avoiding a recession in the final three months of 2012.

Adding insult to injury, analysts now fear that the island’s skyrocketing cost of living could send multinationals and their expatriate talents fleeing, a source of productivity seen as key to Singaporean development.

Foreigners make up about 38 percent of Singapore’s population, up from about 25 percent in 2000. And more than 7,000 multinationals operate on the island.

Additionally, the rising costs and influx of foreigners has also led to discontent within the ranks of locals, with the government expecting Singapore’s population to hit almost 7 million by 2030 from the current 5.3 million.

It now seems that Singapore may have to suffer from its own success.

 

Do you like this post?
  • Fascinated
  • Happy
  • Sad
  • Angry
  • Bored
  • Afraid

Reading Time: 1 minute

The trade-dependent city-state of Singapore saw its economic growth slow to 1.3 per cent in 2012, a substantial drop from the 5.2 per cent it expanded in 2011, mainly due to uneasy external trade factors and erratic manufacturing output.

Reading Time: 1 minute

Singapore terminalThe trade-dependent city-state of Singapore saw its economic growth slow to 1.3 per cent in 2012, a substantial drop from the 5.2 per cent it expanded in 2011, mainly due to uneasy external trade factors and erratic manufacturing output.

The country’s Ministry of Trade and Industry has, however, maintained a stable outlook for 2013 GDP growth, which is forecast at between 1 per cent and 3 per cent. The economy grew 1.5 per cent in the fourth quarter of 2012 on a year-on-year basis, by fell compared to the third quarter.

A main source to Singapore’s economic machine, the manufacturing sector, reversed from a contraction of 16.6 per cent in the third quarter to grow 3.1 per cent in the fourth quarter of 2012 on a quarter-by-quarter basis, largely due to the rebound in the output of biomedical manufacturing and transport engineering clusters.

Weak exports and a slowdown in the manufacturing sector are the major cause to the Singaporean economy’s sickly performance, with the country just avoiding a recession in the final three months of 2012.

Adding insult to injury, analysts now fear that the island’s skyrocketing cost of living could send multinationals and their expatriate talents fleeing, a source of productivity seen as key to Singaporean development.

Foreigners make up about 38 percent of Singapore’s population, up from about 25 percent in 2000. And more than 7,000 multinationals operate on the island.

Additionally, the rising costs and influx of foreigners has also led to discontent within the ranks of locals, with the government expecting Singapore’s population to hit almost 7 million by 2030 from the current 5.3 million.

It now seems that Singapore may have to suffer from its own success.

 

Do you like this post?
  • Fascinated
  • Happy
  • Sad
  • Angry
  • Bored
  • Afraid