Signs of manufacturing moderating, but services expected to step up
Singapore
THE manufacturing sector - the breakout performer last year - is showing clear signs of moderating growth after consecutive quarters of accelerated expansion since the electronics boom took off at the end of 2016.
But this was more than offset by a surprise boost from services, which helped lift the overall economy to grow faster than expected in Q4 2017.
Economists that The Business Times spoke to view this development positively as growth is no longer depending on manufacturing as the main engine.
"The most encouraging development was the sustained expansion in the services sector," said DBS economist Irvin Seah, noting that growth has become "more balanced".
Manufacturing, which makes up a fifth of the economy, grew 4.8 per cent year on year in Q4. This figure was revised down from earlier advance estimates of 6.2 per cent year on year, according to the latest economic data by the Ministry of …
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