Singapore: Economy records strongest performance in a year in Q4 2015
February 23, 2016
According to new estimates released by the Ministry of Trade and Industry on 23 February, in Q4 the economy grew 6.2% over the previous quarter at a seasonally adjusted annualized rate (previously reported: +5.7% quarter-on-quarter SAAR), which marked the strongest performance in a year. The reading was above the 2.3% rise recorded in Q3 and significantly overshot the 4.0% growth the markets had expected.
The quarterly expansion in Q4 was the result of qoq SAAR improvements in all sectors of the economy, with the construction and services sectors recording the most notable rebounds. Construction accelerated from a mild 0.2% rise in Q3 to a solid 6.0% rise in Q4. Manufacturing fell 4.9% in Q4, which was a partial recovery from Q3’s 6.0% decline. Finally, services rose 7.7% in Q4 (Q3: +3.8% qoq SAAR).
In year-on-year terms, GDP expanded 1.8% in Q4, which was slightly down from the 1.9% growth recorded in Q3. Overall, Singapore’s economy grew by 2.0% in 2015, which was lower than 2014’s 3.3% rise and marked the softest reading since 2009.
Author: Eric Denis , Economist