The annual GDP in Singapore expands at the fastest pace since 2021 by 4.4 %

Singapore GDP expansion by 4.4 % In 2024, he marked it The fastest growth since 2021The government data showed on Friday, where it obtained a batch of wholesale trade, finance, insurance and manufacturing.

The economy expanded by 1.8 % in 2023.

For the fourth quarter alone, GDP in Singapore has grown by 5 % on an annual basis, which is higher than expectations by 4.7 % by economists covered by Reuters, but less than expansion by 5.7 % in the previous quarter.

The growth number is 5 % as well Prepared estimates From 4.3 % announced on January 2.

This will be the last part of the main economic data of the city, before Prime Minister Lawrence Wong offers the country’s budget for 2025 on February 18.

The ministry added that the commercial sector for sale in trade in Singapore, as well as the contracted food and beverage sector, as people transferred their spending into travel destinations abroad.

The country maintained 1 % -3 % for the full year of 2025.

The Ministry of Trade and Industry in Singapore said that the external demand expectations for 2025 are still largely unchanged, as it is expected that the growth of gross domestic product in the country’s main commercial partners will reduce 2024 levels.

The ministry added: “There is a large cone of uncertainty surrounding the expectations of the American economy, with its path depending on the policies of the new American administration.”

Singapore expects that the growth of GDP in China is likely to be arrested, as goods and investment growth slowed due to high customs tariffs and industrial excess capacity.

MTI records that in 2025, Singapore will witness that the services related to manufacturing and trade are expanding, especially for electronics, which will be supported by strong demand for semiconductor chips in computer markets, smartphones and data clips. “

It is also expected to see growth in sectors, such as information and communications, as well as financing and insurance.

On the other hand, the ministry expected growth in the sectors facing the consumer, such as retail, food and beverages.

MTI said: “This is partly due to the fact that the local population turns their spending abroad, although the continuous recovery in expatriates for international visitors should provide some support.”

Choa Hak Ben, an analyst in Maybank, said that the year 2025 will be a “uncertain” year, with the growth of the total GDP of the whole year by 2.6 %, closer to the upper end of MTI predictions. “The Trump war will target to grow and trade in 2025, especially in the second half,” he said.

On the local front, the monetary conditions that reduce, and a toxic budget before the elections and an increase in construction activity “will lead to an increase in growth in 2025, which leads to calming the influence of tariff attacks in Trump,” added Choa.