Economists have increased their projections for Singapore’s economic expansion in 2025, according to a recent survey conducted by the Monetary Authority of Singapore (MAS). The median estimate now stands at 2.4%, up from 1.7% in the previous quarter’s survey. This adjustment follows stronger-than-anticipated performance in the first half of the year, prompting the government to update its growth outlook to a range of 1.5% to 2.5%. n nThe survey, which gathered responses from 20 economists, also indicated expectations for stable monetary settings during the upcoming policy review in October. A majority anticipate no changes to current measures, continuing the stance maintained in July after earlier adjustments in January and April. Similarly, policy is expected to remain unchanged in the January 2026 assessment. n nThird-quarter year-on-year growth is projected at 0.9%. Respondents identified geopolitical instability as a primary risk to downside performance, while potential boosts could come from improved global trade relations and an ongoing upswing in the technology sector. n nInflation expectations showed slight moderation. The median forecast for core inflation—excluding housing and vehicle expenses—was revised down to 0.7% from 0.8% in the second quarter. Headline inflation remained unchanged at 0.9%. Earlier in the year, the MAS adjusted its 2025 core inflation projection to a range of 0.5% to 1.5%. Recent data shows that annual core inflation hit 0.5% in both March and July, marking the lowest levels in over three years. n nThe survey was distributed on August 12, coinciding with the release of second-quarter GDP figures showing a 4.4% annual increase. n— news from Reuters
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Singapore MAS survey shows economists lift GDP forecast, see steady policy
SINGAPORE, Sept 3 (Reuters) – Economists have raised their forecasts for Singapore’s growth this year and expect monetary policy to be held steady at a review next month, a survey of forecasters by the Monetary Authority of Singapore showed on Wednesday. n nGeopolitical tensions were cited as a top downside risk for the city-state, while an easing of trade tensions and a sustained tech cycle upturn were seen as potential upside risks, the responses from 20 economists for the September quarter survey found. n nSign up here. n nThe median forecast for growth this year was raised to 2.4% from 1.7% in the June quarter survey. In August, the government raised its forecast range for 2025 growth to 1.5% to 2.5% due to a better-than-expected first half performance. n nEconomists expected year-on-year growth of 0.9% in the third quarter, the survey found. n nThe MAS held policy settings steady at a review in July, after easing in January and April, and the survey found a majority of economists expected no change to policy at the next review in October. Policy was also seen on hold at the January 2026 review. n nThe median forecasts for core inflation, which excludes private road transport and accommodation costs, edged down to 0.7% from 0.8% in the Q2 survey, while the median forecast for headline inflation was steady at 0.9%, the survey showed. n nAt a policy review in April, the MAS lowered its forecast range for core inflation to 0.5% to 1.5% in 2025. In March and July, the annual core inflation rate was 0.5%, the lowest rate in more than three years. n nThe survey published on Wednesday was sent out on August 12, the day that data showed the economy grew an annual 4.4% in the second quarter and the government revised its growth forecast. n n(This story has been corrected to remove an extraneous word in paragraph 7 and show that the core rate was also at 0.5% in March) n nReporting by Jun Yuan Yong; Editing by John Mair and Tom Hogue