For the rest of 2022, MTI expects that the weaker economic outlook will weigh on the growth of outward-oriented sectors in Singapore. This will be mitigated by the strong recovery in air travel and the arrival of international visitors, as well as the lifting of travel restrictions in Singapore.
The Ministry of Trade and Industry (MTI) is projecting Singapore’s gross domestic product (GDP) growth to come in at “around 3.5%” in 2022. This is at the mid-range of its previous projection of a 3.0% to 4.0% growth.
The revised projection comes as Singapore’s external demand outlook softened further since the Economic Survey of Singapore was conducted in August. This was attributable to the weaker outlook for the Eurozone and Chinese economies. The Eurozone economy is currently facing an energy crunch while China continues to deal with the recurring Covid-19 outbreaks and a downturn in its property market.
