Singapore’s economic growth to pick up pace in 2024

Singapore’s economic growth to pick up pace in 2024. (Photo: The Straits Times)

Singapore (VNA) – Singapore’s gross domestic product (GDP) growth should improve gradually next year while core inflation is expected to ease by December, according to the Monetary Authority of Singapore (MAS).

In its semi-annual macroeconomic review, MAS said the economy avoided an outright recession as the domestic-oriented services sector and travel-related industries offset the slump in manufacturing and the weaker financial sector with their above-trend growth after the end of COVID-19 curbs.

The Singapore economy should benefit as the global tech industry gradually emerges from its trough and global interest rates level off over 2024, MAS said.

It reiterated that for 2024 as a whole, Singapore’s core inflation, which excludes accommodation and private transport costs, will slow to an average of 2.5% to 3.5%, The Strait Times reported.

MAS said core inflation, which is a better gauge of price increases most Singapore households face, is expected to edge up in the first quarter of 2024, reflecting the GST hike due on January 1, as well as increases in the costs of water, electricity and public transport./.

VNA