Singapore's GDP growth forecast for 2022 remains at 3-5 pct: ministry

Singapore's Ministry of Trade and Industry announced on Thursday that it has maintained its GDP growth forecast for 2022 at 3-5 percent, taking into account the global and domestic economic environment, and barring the materialization of downside risks in the global economy.

The ministry said in its latest Economic Survey report that Singapore's external demand outlook has deteriorated slightly since last November when the previous report was released, due to surging global COVID-19 cases, persistent global supply bottlenecks, rising energy prices, and exacerbated global inflationary pressures.

Domestically, Singapore's consumer-facing sectors and the sectors that are reliant on migrant workers will be supported by the further progressive easing of domestic and border restrictions, thanks to the city-state's high vaccination rate and steady rollout of booster shots. Meanwhile, air travel and visitor arrivals are also expected to improve with the gradual loosening of travel restrictions and expansion of Vaccinated Travel Lanes.

"Against this external and domestic backdrop, the Singapore economy is expected to continue to expand this year, although the outlook for the various sectors remains uneven," the ministry said.

The ministry also announced that the Singapore economy grew by 6.1 percent year on year in the fourth quarter of 2021, moderating from the 7.5 percent expansion in the preceding quarter. As for the whole year of 2021, the economy grew by 7.6 percent, rebounding from the 4.1 percent contraction in 2020.