FW: RHB | Singapore | GDP To Rise On Capex Tide, Both Locally And Abroad

 

 

 

Economic Research			21 September 2017
Singapore
Economic Outlook
GDP To Rise On Capex Tide, Both Locally And Abroad   The Singaporean economy grew 2.7% YoY in 1H17, driven by higher exports and a softer contraction in private consumption. Gross fixed capital formation (GFCF), however, fell at a quicker pace, capping some of the upside. Going forward, we raise our projection for Singapore’s GDP growth to 2.4% YoY in 2017, from +2.2% YoY previously, on account of its strong 1H17 outturn.   Correspondingly, we lower our forecast for 2018 GDP growth to +2.7% YoY, from 3% YoY earlier, on account of the higher base effect. We believe exports would continue to be a major driver – supported by the following:     i.   Greater shipments of capital goods;    ii.   Consumer sentiment and spending is set to improve, aided by a rebound in property prices;   iii.   Private investment is expected to intensify on firm exports and as corporates race to “go green” ahead of impending environmental regulations.     Economist:  Ng Kee Chou | +603 92802179
To access our recent reports please click on the links below: 20 Jun  2017  : Structural Gains Help Mitigate Slowing Growth 28 Mar 2017  : Key Beneficiary Of External Recovery 30 Dec 2016  : Outlook Remains Dim On Sluggish Exports And Rising Interest Rates 28 Sep 2016  : GDP Growth Tied To Flagging External Demand 17 Jun 2016  : Downside Risks Well Contained But Growth To Remain Slow In 2H
Economics Team
Peck Boon Soon	Chief ASEAN Economist	bspeck@rhbgroup.com		+603 9280 2163
Vincent Loo Yeong Hong	Malaysia, Vietnam	vincent.loo@rhgroup.com		+603 9280 2172
Ng Kee Chou	Singapore, Thailand	ng.kee.chou@rhbgroup.com		+603 9280 2179
Rizki Fajar	Indonesia, Philippines	rizki.fajar@rhbgroup.com		+6221 2970 7065
Aris Nazman Maslan	Malaysia, Vietnam	mohd.aris.nazman@rhbgroup.com		+603 9280 2184

 

 

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