Maybank: Singapore economy to contract 7% in 2020 despite manufacturing upturn

SINGAPORE (Apr 27): Despite a surprising upturn in manufacturing growth from strong pharmaceutical production, Maybank Kim Eng Research anticipates the Singapore economy to contract by 7% in FY2020 after the extension and broadening of “circuit breaker” measures. 

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With the government having extended the partial lockdown to 1 June and expanded its definition of “non-essential services”, the research house has reduced its growth forecast from its original prediction of -6%. This figure exceeds estimates by the Monetary Authority of Singapore, which predicted GDP growth of -4% to -1% in its April Monetary Policy Statement.