Singapore economy recovers on better-than-expected Q1 GDP

Singapore’s economy grew bigger than what was initially expected in the first quarter, with the government maintaining its growth outlook for the year. However, the city-state remained cautious as uncertainties brought about by the coronavirus pandemic still lurk.

Gross domestic product (GDP) posted a 1.3% annualized increase in the first quarter, the Ministry of Trade and Industry said on Tuesday. The expansion came larger than the 0.2% growth expected by the government and bigger than the 0.9% increase predicted in a Reuters poll.

The jump seen from January to March was mainly from upbeat manufacturing, finance, insurance, and wholesale trade. While the economic outlook remained at 4% to 6%, the country was still cautious of a larger-than-usual degree of uncertainty caused by the COVID-19 crisis.