Singapore: Non-oil exports rise at fastest pace in seven months in January
February 17, 2021
Non-oil domestic exports (NODX) jumped 12.8% over the same month last year in January (December: +6.8% year-on-year). January’s result marked the strongest increase since June and was markedly above market expectations. January’s upturn was in part aided by a low base from a year ago. Nevertheless, the rise was driven by higher electronics and pharmaceutical exports. In terms of markets, exports to Asian neighbours surged in a sign of stronger regional demand, while exports fell to the U.S. and EU.
In seasonally-adjusted month-on-month terms, NODX exports rose 7.0% in January, accelerating from December’s 4.8% increase.
Looking ahead, Barnabas Gan, economist at United Overseas Bank, is optimistic regarding export growth in 2021:
“The strong performance in January’s NODX reinforces our view for an optimistic external environment for Singapore. Into 2021, the global economy is expected to recover further from the recession seen in 2020. This will likely support global export demand, and with it, drive economic performance for export-oriented economies such as Singapore.”
Author: Stephen Vogado, Economist