Home / World Business
Wed, May 18, 2005 - Page 12 News List

Singapore reduces economic forecast for this year

AFP , SINGAPORE

The Singapore government yesterday cut its economic growth forecast for this year from 3.0-5.0 percent to 2.5-4.5 percent after a weaker-than-expected performance in the first quarter.

Figures released by the Ministry of Trade and Industry showed GDP in the March quarter grew 2.5 percent from a year ago, better than official preliminary estimates of 2.4 percent but the weakest rate since the third quarter of 2003.

It was also much slower than the 6.5 percent expansion registered in the December quarter.

"In view of the first quarter's weaker-than-expected economic performance, it would be unrealistic to maintain the official forecast range of 3.0-5.0 percent," Friedrich Wu, director of the ministry's economics division, said at a media briefing.

"Such a growth rate would be difficult to achieve, especially in the second quarter when year-on-year growth must be compared with a very high base of 12.3 percent in the second quarter of last year."

For the first-quarter GDP numbers, the government said the slowdown was largely due to a sharp moderation in manufacturing, which accounts for almost a quarter of Singapore's US$109 billion economy.

This story has been viewed 2028 times.

Comments will be moderated. Keep comments relevant to the article. Remarks containing abusive and obscene language, personal attacks of any kind or promotion will be removed and the user banned. Final decision will be at the discretion of the Taipei Times.

TOP top