Singapore's economy grew faster than previously estimated in the second quarter, prompting the government to predict a narrower range for annual growth this year.
Gross domestic product expanded 2.2% on-quarter on a seasonally adjusted and annualized basis, compared with a 0.4% expansion expected last month when the government released its advance estimates.
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That compared with a 2.1% on-quarter contraction in the first quarter, data from the Ministry of Trade and Industry showed Friday.
On a year-over-year basis, GDP grew 2.9% in the second quarter, faster than the 2.5% growth estimated last month, and higher than a 2.5% gain in the first quarter.
The government said it now expects the economy to grow between 2% and 3% this year, compared with an earlier range of 1% to 3%. The economy grew 2.0% in 2016.
"The outlook for the global economy has remained stable in recent months, with global growth on track to come in higher in 2017" compared with last year, the ministry said in a statement. However, it flagged risks from increased protectionism and a faster pace of rate increases in the U.S. that may tighten global financial conditions more than anticipated.
Singapore's manufacturing sector grew 8.1% from a year earlier in the second quarter, after a 8.5% gain in the first. That was faster than the 3.6% growth in manufacturing last year.
The services sector gathered pace as well, growing 2.4% from a year earlier in the second quarter, compared with a 1.4% gain in the first and a 1.0% rise last year.
Construction, however, lagged with a 5.7% year-over-year contraction in the second quarter, after falling 6.3% in the first three months of this year.
Write to Gaurav Raghuvanshi at email@example.com
(END) Dow Jones Newswires
August 10, 2017 20:19 ET (00:19 GMT)