Dip in Singapore business optimism index for Q1 2017

BUSINESS confidence in Singapore has worsened as Singapore Inc heads into the new year, with trade and financial sector players the most pessimistic among all businesses, an index showed on Monday.

According to the Singapore Commercial Credit Bureau (SCCB)'s latest quarterly business optimism index (BOI), the BOI slipped from +2.87 percentage points in Q4 2016 to -1.22 percentage points in Q1 2017.

On a year-on-year basis, BOI has improved slightly but remained in the contractionary zone from -2.93 percentage points in Q1 2016 to -1.22 percentage points in Q1 2017.

Both wholesale trade and financial services sectors emerged as the most pessimistic sectors for Q1 2017. But tourism is expected to boost overall services, with the sector emerging as the most optimistic industry.

Majority of local firms surveyed, or 85 per cent, expect investments to remain unchanged.