Singapore's GDP growth slumps in 2022

Singapore's GDP growth slows to 3.8% in 2022 (Photo: VNA)

Singapore (VNA) - According to Singapore’s Ministry of Trade and Industry (MTI), the country’s economy grew 3.8% in 2022, slower than the 7.6% recorded in 2021.
 
The ministry said Singapore’s economy was expected to grow 2.2% in the fourth quarter of 2022, slowing from the revised 4.2% in the previous quarter.
 
All sectors expanded year-on-year in the fourth quarter except for manufacturing, which contracted 3% and marked a sharp reversal from the 1.4% growth in the third term.
 
The construction sector grew by 10.4% in the fourth quarter, accelerating from the 7.8% growth seen in the third quarter due to recovery in construction output in both public and private sectors. The services sector grew 4.1%, moderating from the previous term's 5.8% rise.
 
The city-state earlier projected that economic growth will slow further this year, coming in between 0.5% and 2.5%. Export demand continues to weaken, especially for electronics, and there is concern over a potential recession in advanced economies.
 
Inflation remains a downside risk in 2023. Even as the inflation rate has come off its peak, analysts expect it will likely remain elevated.
 Singapore's core consumer inflation, which excludes private transportation and accommodations, was up 5.1% on the year in November. This was unchanged from October, which marked the first dip since February 2022.
 
Gross domestic product (GDP) expanded 2.2% in October-December on a year-on-year basis, the government data showed, almost half of the 4.2% growth seen in the third quarter./.