Singapore’s growth was lower than initially estimated in the third quarter, underscoring the fragility of post-Covid recovery amid increasing global headwinds. 

Gross domestic product expanded 1.1% from the previous quarter, according to final estimates released by the Ministry of Trade and Industry Wednesday. That was worse than the 1.5% initial reading from the MTI last month, and compares with a similar estimate in a Bloomberg survey of economists. 

On a year-on-year basis, the economy expanded 4.1% in the three months through September. That compares with the 4.4% advance estimate, and 4.3% growth predicted by economists in a Bloomberg poll. 

Singapore trimmed its 2022 growth forecast to around 3.5% from a range of 3%-4% seen previously, a reflection of an increasingly challenging global macro environment. Singapore also sees the economy expand by 0.5-2.5% in 2023.

Weaker-than-expected manufacturing sector performance contributed to the downward revision in the GDP report, indicating that growth headwinds were building as early as last quarter. Non-oil exports data for October showed the first decline in 23 months, as soaring inflation and interest rates crimped consumer spending in developed economies and Covid-19 curbs in China damped demand.  – BLOOMBERG