Motorists go about their routines with the central business district of Singapore in the background. — Bloomberg
SINGAPORE: DBS Group Research on Wednesday said it expects Singapore's gross domestic product to double by 2040, with its benchmark Straits Times Index potentially climbing to nearly 10,000 and the Singapore dollar reaching parity with the U.S. dollar.
In a report, the research arm of Singapore's largest bank, DBS, said it expected real gross domestic product growth to average 2.3% a year over the next 15 years, outpacing other advanced economies.
The report said Singapore’s GDP was projected to more than double to $1.2 trillion to $1.4 trillion by 2040 from $547 billion in 2024.
It said disciplined policy, safe-haven capital inflows, steady productivity gains and a sustained current account surplus could drive long-term currency appreciation.
The report added that the Straits Times Index broke a 17-year stalemate, surpassing 4,000 in 2025 and marking a medium-term bullish shift.
Singapore is also strengthening its capital markets through the Monetary Authority of Singapore's S$5 billion ($3.86 billion) equity market development programme, which is aimed at revitalising the market and boosting liquidity in small- and mid-cap stocks. ($1 = 1.2942 Singapore dollars) - Reuters
