The Singapore's economy expanded by 1.9 percent year-on-year in the third quarter of 2015, marginally down from a 2.0 percent growth in the preceding quarter but well above advance estimates of 1.4 percent. It is the slowest growth since the third quarter of 2012, as a faster increase in the wholesale & retail sector and a rebound in the transportation & storage and accommodation & food services sectors were unable to offset a further contraction in the manufacturing sector and a slowdown in the construction and business services sectors.
Year-on-year, the manufacturing sector contracted by 6.2 percent, extending a 4.8 percent decline in the previous quarter, due to a fall in the output of transport engineering quarters, electronics and precision engineering clusters.
The construction sector grew by 1.6 percent, slowing from a 2.2 percent growth in the June quarter, due to weak public sector construction activities.
The wholesale & retail sector expanded 6.8 percent, faster than a 6.0 percent growth in the second quarter, mainly due to a stronger performance of the wholesale trade segment.
The transportation & storage grew by 0.3 percent, as compared to a 1.0 percent contraction in the previous three months, driven by the air and land transport segments.
The accommodation & food services advanced 0.9 percent, reversing from a 0.9 percent fall in the preceding quarter, supported by the accommodation segment, which saw better performance on the back of a recovery in visitor arrivals.
The information & communication sector grew by 4.8 percent, slowing from a 5.6 percent growth in the previous quarter, mainly due to slower growth in the IT & information services segment.
The finance & insurance sector moderated to 4.8 percent from 6.9 percent, supported by the fund management, insurance and other segments.
The business services expanded by 1.5 percent, following a 1.6 percent growth in the June quarter, mainly driven by the rental & leasing and other administrative & support services segments.
The "other services industries" advanced 2.2 percent, accelerating from a 1.8 percent growth in the June quarter, mainly supported by the education, health & social services segment.
For 2015, the Singapore economy is expected to grow by "close to 2.0 percent", following an earlier forecast of 2.0 percent to 2.5 percent. For 2016, the country's GDP growth is projected to advance at a modest pace of 1.0 percent to 3.0 percent.
On a quarter-on-quarter seasonally-adjusted annualised basis, the economy also grew by 1.9 percent, reversing from a 2.6 percent contraction in the preceding quarter. Growth were seen for: the wholesale & retail trade (+5.3 percent from a 1.1 percent growth in the June quarter), the transportation & storage sector (+5.9 percent from a 10 percent contraction), the accommodation & food services (+12 percent from a 2.4 percent contraction), the information & communications (+3.5 percent from a 9.3 percent growth), the business services sector (+2.6 percent from -3.6 percent) and the "other services industries" (+3.0 percent from +4.7 percent). In contrast, a contraction were seen for: the manufacturing sector (-4.6 percent from a 17 percent decline in the previous quarter) and the construction sector (-1.6 percent from a 13 percent growth).
11/25/2015 1:13:31 AM