S'pore economy grows 10.4% in 3rd quarter
S'pore economy grows 10.4% in 3rd quarter
SINGAPORE (AFP): Singapore's economy grew at an annual rate of
10.4 percent in the third quarter of this year, prompting the
government to raise its target for the year to 9.5 percent.
The ministry of trade and industry said the stronger-than-
expected figures reflected robust domestic and external demand
and a strong export performance.
Gross domestic product (GDP) expanded 9.8 percent in the nine
months to September, the ministry said. The third quarter GDP
expansion bettered the earlier estimate of 10.2 percent.
External demand, boosted by robust electronics exports, was
the "key locomotive" surging 19 percent, up from 12 percent in
the second quarter, the ministry said.
Domestic consumption rose 8.8 percent, with increases noted in
household spending on motor vehicles, recreation and clothing.
"In view of the overall positive outlook and revision in the
growth in the nine months, the official growth projection for the
Singapore economy in 2000 has been raised from around 9.0 percent
to around 9.5 percent," the ministry said in a statement.
A preliminary forecast suggests growth next year will be
between five and seven percent.
The third quarter growth cut across almost all sectors.
Manufacturing output rose 15.5 percent from 13.3 percent the
previous quarter. Financial services swung up 4.4 percent after
contracting 1.0 percent and construction slowed down its slide to
1.3 percent from 1.7 percent.
Wholesale and retail output remained steady with a growth of
15.2 percent, while hotels and restaurants output climbed 9.0
percent from 7.4 percent.
Transport and communications output grew 9.2 percent, slightly
slower than the 9.5 percent posted in the second quarter. Output
of business services rose 7.7 percent from 6.4 percent.
"The external economic outlook remains favorable," the
ministry said, citing projections by the International Monetary
Fund (IMF) that the world economy will grow by 4.7 percent this
year and 4.2 percent in 2001.