Annual growth rates for Singapore real Gross Domestic Product (GDP) are mapped to the Straits Times Index (STI) at the end of each year.
|Year||GDP growth rate (%)||STI|
Source: Singapore Department of Statistics (for GDP numbers) and The Straits Times, 21 Feb 2014
Slowdown in GDP growth rates for 2008 (+1.7%) and 2009 (-0.8%) was the result of the global financial crisis. In 2010, GDP grew a spectacular 14.8%. In 2011, the GDP growth rate was a good 6.0% but it turned down to grow only 1.9% in 2012.
As for 2013, GDP re-bounded and grew at 4.1%. Though a reasonable growth rate, the Straits Times Index (STI) did not reflect the fact that the Singapore economy did ok. The STI remained flat between end 2012 and end 2013. Because STI tends to be forward looking of the economy 6 months ahead, analysts and investors were not confident of Singapore condition 6 months to one year ahead. There is still head-wind moving forward.
Forecast of GDP for 2014
With the potential problems of the global economy, the Ministry of Trade and Industry (MTI) forecasted the GDP growth rate for this year to be in the range of 2.0 to 4.0 %.
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