SINGAPORE: The Singapore economy grew by 2.2 per cent on a year-on-year basis in the third quarter, slower than the 4.1 per cent growth in the preceding quarter, according to the republic's Ministry of Trade and Industry (MTI) today.
On a quarter-on-quarter seasonally-adjusted annualised basis, the country's economy expanded by 3.0 per cent, faster than the 1.0 per cent growth in the second quarter, said the Ministry in a statement here.
The Ministry also said the republic's economy is expected to grow by “3.0 to 3.5 per cent” in 2018, and by “1.5 to 3.5 per cent” in 2019.
On a sectoral basis, the manufacturing sector grew by 3.5 per cent year-on-year, moderating from the 10.7 per cent growth in the previous quarter.
All clusters within the sector expanded, except for the general manufacturing cluster which contracted on the back of output declines in the printing and miscellaneous industries segments, it said.
The construction sector contracted by 2.3 per cent year-on-year, a more gradual pace of decline as compared to the 4.2 per cent contraction in the previous quarter.
MTI said construction output in the third quarter was weighed down by weakness in public sector construction activities.
The wholesale and retail trade sector expanded by 0.5 per cent year-on-year, easing from the 1.5 per cent growth in the previous quarter.
Growth was driven by the wholesale trade segment, which was in turn supported by a strong expansion in the machinery, equipment and supplies sub-segment, it said.
On the other hand, the retail trade segment shrank, weighed down by weak motor vehicle sales.
Growth in the transportation and storage sector came in at 2.1 per cent year-on-year, faster than the 1.2 per cent growth in the preceding quarter, supported by expansions in both the water transport and air transport segments, said MTI.
The Ministry said the accommodation and food services sector grew by 4.0 per cent year-on-year, extending the 3.9 per cent growth in the previous quarter.
Growth was driven largely by the accommodation segment, which expanded on the back of a 7.1 per cent increase in visitor arrivals to Singapore., it said Meanwhile, the growth in the information and communications sector eased to 4.7 per cent year-on-year, from 5.8 per cent in the preceding quarter.
The sector's growth was primarily due to the IT and information services segment, which saw robust expansion on account of healthy demand for IT solutions, it said.
The finance and insurance sector meanwhile expanded by 5.6 per cent year-on-year, moderating from the 6.8 per cent growth in the previous quarter.
Growth was primarily supported by the insurance and “others” segments, with the latter being bolstered by the push towards more efficient payment systems and cashless transactions in the economy, it said.
The “others” segment consists of rental and leasing, other professional, scientific and technical services, and other administrative and support services.
The business services sector grew by 2.4 per cent year-on-year, similar to the 2.3 per cent growth in the preceding quarter.
Growth was led by the “others” and professional services segments, even as the real estate segment continued to contract, it said.
The “other services industries” posted growth of 1.2 per cent year-on-year, faster than the 0.5 per cent growth in the previous quarter.
Growth was mainly supported by the education, health and social services segment, said MTI. - Bernama