Holy Cow! Singapore Economy Grows 22.5 percent in Q1
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Following a modest 3.9% quarter on quarter (q-o-q) seasonally-adjusted annual rate (saar) rise in Q4 2010, Singapore’s GDP growth accelerated in Q1 2011, recording a 22.5% sequential expansion. While services had recovered more quickly in Q4 last year, the manufacturing sector caught up in Q1 2011, boosted by an improvement in end demand.
Related: Singapore Economy
Following a modest 3.9% quarter on quarter (q-o-q) seasonally-adjusted annual rate (saar) rise in Q4 2010, Singapore’s GDP growth accelerated in Q1 2011, recording a 22.5% sequential expansion. While services had recovered more quickly in Q4 last year, the manufacturing sector caught up in Q1 2011, boosted by an improvement in end demand.
Related: Singapore Economy
Related: Singapore Economic Forecast
Related: Singapore Industry Sectors
Manufacturing activity surged by 75.4% q-o-q saar in Q1 2011, after recording a 0.7% rise in the preceding quarter. Abstracting the spike in biomedical output, the rest of the sector grew by 27% q-o-q saar. Growth was underpinned by expansions in the electronics and precision engineering clusters.
Electronics output grew by 31% q-o-q saar in Q1 2011, as the infocomms & consumer electronics segment saw an uptick, which in turn reflected the improvement of final demand in the G3 markets. This also had positive spillovers into the semiconductors segment.
Other Singapore economy highlights:
- Activity in the construction sector rebounded in Q1 by 13.3% q-o-q saar,
- The services sector strengthened further in Q1 2011, registering growth of 8.8%.
- Tourism-related services sector surged in Q1 2011. In particular, the hotels segment continue to record robust growth, with hotel occupancy rates trending upwards to 85.9% sa, from 84.3% in Q4.
- The offshore lending segment was bolstered by firm non-bank loan growth to the region, as well as an increase in demand for funds from the advanced economies.
- The region saw an outflow of funds for the ninth consecutive week, with a concomitant dampening effect on activity in the local bourse.
- Daily average turnover volumes in the local stock market declined by 6.5% q-o-q in Q1.
The full report from The Singapore Business Review
