ADB sees Singapore growth accelerating over next two years

Bank also expects inflation here to slow, in line with broader trend across S-E Asia

- Ovais Subhani

Singapore's economic growth will accelerate over the next two years, boosted by stronger exports, while inflation will slow, the Asian Development Bank (ADB) said on April 11.

The Manila-headquartered bank said Singapore will clock gross domestic product (GDP) growth of 2.4 per cent in 2024, up from 1.1 per cent in 2023.

Singapore's Ministry of Trade and Industry (MTI) has forecast that GDP in 2024 will expand between 1 per cent and 3 per cent. The International Monetary Fund projects Singapore's growth at 2.1 per cent for 2024.

MTI will release the advance GDP estimates for the first quarter of 2024 on April 12. On the same day, the Monetary Authority of Singapore (MAS) will issue its quarterly statement on its Singapore-dollar policy stance.

ADB, which provides loans and grants for developing nations across the Indo-Pacific region, said growth in manufacturing is expected to gradually pick up in tandem with the turnaround in global electronics demand.

Domestic- and tourist-related activities will moderate as demand normalises, while construction will continue to benefit from contracts awarded in 2023, ADB said in its latest Asia Development Outlook report.