Preliminary data shows Singapore’s economy expanded 5.7% year-on-year, easing from Q1’s 6.3% pace ahead of the central bank’s review.
Singapore’s economy grew 5.7% year-on-year in the second quarter, slightly above the 5.5% forecast but slowing from Q1’s 6.3% expansion. The trade ministry’s preliminary data also showed a 1.1% quarter-on-quarter rise on a seasonally adjusted basis, signaling moderating momentum as inflation risks persist.
The Monetary Authority of Singapore (MAS) had tightened policy in April to counter inflation pressures linked to geopolitical tensions, particularly the Iran conflict. With its next review due before month-end and full-year growth forecast at 2% to 4%, the central bank faces limited scope to ease its stance despite cooling growth.
Regional inflation concerns have intensified this week, with New Zealand’s business surveys and central bank commentary echoing similar risks. The data reinforces expectations that MAS will maintain its current policy settings to anchor price stability.