Singapore economy to grow slower in Q3, say experts

Economic growth of Singapore in the third quarter is expected to be slower, according to economists.

The gross domestic product in the third quarter is expected to expand by 3.8 percent year-on-year. This is the same as in the second quarter, reports Xinhua.

Some of the economists, however, expect a pull-back after comparing data quarter-on-quarter basis.

Some say the numbers in the second and third quarters indicate the economy is more stable now.

Selena Ling, OCBC economist, the economy indicators around the world are improving. "The recovery story is still uneven but there is some light at the end of the tunnel," she added.

Ling expects a 2.3 percent growth of Singapore's economy year-on-year basis in the third quarter.

Manufacturing output, which accounts for around 20 percent of the Singapore economy, rose 3.5 percent year-on-year in August, slightly weaker than market expectations due to a weaker pharmaceuticals sector.

The services sector continued to prop up economic growth in the third quarter, said Francis Tan, UOB economist.