Singapore’s GDP grew by 0.5 per cent on a year-on year basis in the third quarter of 2019, slightly higher than the 0.2 per cent growth in the previous quarter. On a quarter-on-quarter seasonally-adjusted annualised basis, the economy expanded by 2.1 per cent, a turnaround from the 2.7 per cent contraction in the preceding quarter.
Construction Sector’s GDP performance
The construction sector grew by 2.9 per cent year-on year, extending the 2.8 per cent growth in the previous quarter. Construction output during the third quarter was supported by an increase in both public sector and private sector construction works.
The construction sector (2.9 per cent) ranked third in the sector that contributed the most growth to GDP. Finance and insurance (4.3 per cent) ranked first, followed by information and communication (3.4 per cent).
In contrast, manufacturing (-1.7 per cent) and wholesale and retail trade (-3.3 per cent) sectors show the largest decline in GDP growth.
Singapore’s total employment rose by 26,700 on a quarter-on-quarter basis in the third quarter, higher than the increase in the previous quarter (5,500) and the same quarter a year before (19,300). The construction sector (5,300+) are amongst the top three sectors with the highest employment growth in this quarter.
Overall labour productivity declined by 1.1 per cent on a year-on-year basis in this quarter. This is a smaller decline compared to the previous quarter (-3.2 per cent). The construction sector recorded the highest growth in productivity (2.6 per cent) in this quarter, followed by finance and insurance (0.8 per cent).
In contrast, information and communications (-3.5 per cent) as well as wholesale and retail trade (-2.3 per cent) sectors have the largest decline in productivity.For the remaining quarter for the year, the construction sector is projected to continue to post a steady growth.
Taking into account Singapore’s performance in the construction sector in 2019, it is also projected to see a sustained growth in the upcoming year.
Source: Ministry of Trade and Industry