Singapore: Economy slows in Q1
May 23, 2014
According to detailed data, in the first quarter, the economy expanded 2.3% over the previous quarter at a seasonally adjusted annualized rate (SAAR). The reading came in well below the 6.1% expansion recorded in the previous quarter. However, it overshot both the 0.1% expansion reported in the preliminary estimate and the 1.2% increase the market had expected. In annual terms, GDP expanded 4.9%, which mirrored the result tallied in the previous quarter (previously reported: +5.1% year-on-year).
Q1’s upward revision came on the back of improving manufacturing, which accelerated slightly from a 10.4% increase in the fourth quarter to an 11.9% rise in the first quarter (previously reported: +4.5% quarter-on-quarter SAAR). Conversely, data showed a deceleration in construction (Q1: +0.6% qoq SAAR; Q4: +10.6% qoq SAAR) as well as in services (Q1: +0.4% qoq SAAR; Q4: +7.1% qoq SAAR).
Author: Dirina Mançellari, Senior Economist