Singapore's economy gross domestic product grew at a slower-than-expected pace in the second quarter, with the manufacturing sector supporting overall numbers that fell short of analyst predictions.
Gross domestic product grew 0.4% on a seasonally adjusted and annualized basis compared with the previous quarter, according to advance estimates released by the Ministry of Trade and Industry on Friday. This compared with a 1.9% contraction in the first quarter but fell well short of a 1.1% growth forecast by economists polled by The Wall Street Journal.
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Economic growth in trade-dependent Singapore was expected to reflect a steady pickup in headline numbers globally, but fell short of those predictions due to persistent weakness in construction and only a moderate improvement in the services sector.
The island nation's economy is estimated to have expanded 2.5% on year in the second quarter, compared with the 2.8% growth forecast in the poll. GDP rose 2.5% on year in the first quarter, the government said.
Manufacturing output grew 8.0% on year, after an 8.5% gain in the first quarter. Services output grew 1.7% on year in the three-month period, while the construction sector contracted 5.6%, the data showed.
On year numbers showed the manufacturing sector continuing to support overall growth, while construction remained weak and services improved slightly. The government said the manufacturing sector's performance was supported mainly by electronics and precision engineering, which grew on the back of strong external demand for semiconductors.
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(END) Dow Jones Newswires
July 13, 2017 20:31 ET (00:31 GMT)