SINGAPORE: Economists polled by the Financial Authority of Singapore (MAS) have barely lowered Singapore’s progress forecast for the yr to three.5%, from 3.6% within the earlier survey.
Six in 10 (62%) anticipate financial coverage to stay unchanged subsequent month, whereas 38% anticipate coverage tightening.
Almost 9 in 10 respondents (85%) cited the escalation or prolonging of the Center East battle as a draw back danger to Singapore’s financial outlook, with seven in 10 figuring out it as a high danger. Six in 10 additionally flagged the potential bursting of the AI bubble, whereas 15% noticed it as a high danger.
The survey was despatched to 25 economists and analysts carefully monitoring the Singapore economic system on Could 25, with 22 of them responding, earlier than the ceasefire settlement was signed by the USA and Iran on June 14.
Within the first quarter, the economic system expanded by six per cent year-on-year (YoY), barely exceeding the earlier survey’s median forecast of 5.8%. Respondents anticipate the economic system to develop by 4.3% YoY within the second quarter.
For subsequent yr, the expansion charge forecast remained unchanged at 2.5%.
The median forecast for core inflation and headline inflation within the June survey stood at 2 per cent and a pair of.3% respectively, larger than the 1.5% forecast for each within the earlier survey.
When it comes to the unemployment charge, respondents anticipate it to stay unchanged at 2.1%.
MAS will ship its subsequent financial coverage overview in July. /TISG
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