According to information published by the Singapore Ministry of Trade and Industry, the Singapore economy is going to expand considerably in the first quarter of 2016.
We are talking about significant growth from the final quarter of 2015 to the first quarter of 2016, with many industry insiders be leaving that the Singapore economy would have risen by at least 1.8% during this block of time. Amazingly, Singapore continues to build their economy on a daily basis – even while the rest of the world tries to keep the status quo.
This is incredible news, especially considering the fact that global economies all over the world are underperforming across the board. Combine that with the recent news about the United Kingdom leaving the European Union, and you’re talking about some pretty negative economic impacts making waves all over the world.
Singapore, on the other hand, has always been very business friendly – and this favorable outlook on business and serious investment in infrastructure and private enterprise has paid off handsomely. During the first four months of 2016, the economy has climbed by 1.8%, and even though that number is slightly slower than many in the financial world expected or anticipated, it still represents a considerable leap in the economy.
This is especially true, considering the fact that in the final quarter of 2015 Singapore ended the year with a decrease of .2%. To see such a reversal in trends (representing a full 2% swing in the positive direction) is very encouraging, and it’s likely going to spur more growth, more investment, and more positive business impacts in Singapore moving forward.
Singapore has already established itself as a major hub for international business. With growth rates like this (and such a solid business infrastructure in place, combined with very friendly business laws and a pro-business government firmly in place), no one would be surprised to see Singapore become even more successful than they already are!
The private sector in Singapore is responsible for this major jump in growth. Many in the financial world are expecting the Singapore economy to continue to climb higher and higher throughout the year, with many anticipating that Singapore will have enjoyed at least 3% overall economic growth throughout 2016.
Tourism and retail are the tip of the spear
In a very interesting turn of events, it is in the manufacturing industries that are driving the growth of the Singapore economy, but instead the tourism and retail sectors.
This usually isn’t the case (and certainly hasn’t been the case in Singapore, that’s for sure), and industry experts and financial focused individuals have no real understanding of how or why this has happened. Sure, many agree and appreciate that Singapore has made major steps in investments in their tourism and retail industries, but at the end of the day the manufacturing output of a country almost always has the biggest bearing on their economic growth.
It’ll be interesting to see how things shake out the future.
About the Author:
Morris Edwards is a content writer at companyregistrationinsingapore.com.sg – he writes different topics like investing in Singapore, “FinTech Startups in Singapore“, “Singapore 2016 New Schemes To Help Workers Adapt To Changing Economy” and all topics related to Economy and Business in Singapore.
