Monday, 13 July 2020

Singapore economy enters recession, second-quarter GDP plunges record 41.2%

On a year-on year basis, gross domestic product (GDP) plummeted 12.6 per cent, preliminary data from the Ministry of Trade and Industry showed on Tuesday. Economists had forecast a 10.5% contraction
Singapore’s PM Lee Hsien Loong and his wife Ho Ching at a polling station during the general election on Friday Reuters
Singapore's economy slipped into recession in the second quarter, contracting by a record 41.2 per cent from the previous three months and is facing its biggest slump ever this year as coronavirus lockdown steps hammer the trade-reliant city-state. Economists polled by Reuters had expected a 37.4 per cent slump, but the pandemic took a heavy toll on the construction sector, which plunged 95.6 per cent.


On a year-on year basis, gross domestic product (GDP) plummeted 12.6 per cent, preliminary data from the Ministry of Trade and Industry showed on Tuesday. Economists had forecast a 10.5% contraction. The GDP slump marked the second consecutive quarter of contractions for the wealthy city-state - having declined a revised 0.3 per cent year-on-year in the first quarter and 3.3 per cent quarter-on-quarter - meeting the definition for a technical recession. The city-state expects full-year GDP in the range of -7 per cent to -4 per cent, the biggest downturn in its histor.


The government has pumped in nearly S$100 billion (57 billion pounds) worth of stimulus to blunt the impact of the pandemic. The People's Action Party, which extended its unbroken rule in last week's election held in the midst of the pandemic, has said protecting Singaporean jobs is its biggest priority..

No comments:

14th BRICS summit to review current global issues, reach key agreements

  At the   14th BRICS summit   which is to be hosted by China in a virtual mode on 23-24 June, the member nations will review the current gl...