Singapore's 2025 GDP Grows 5.0%, 2026 Forecast at 2-4%

Singapore's economy expanded by 5.0 percent in 2025, surpassing earlier estimates, as fourth-quarter growth accelerated more than anticipated, prompting officials to raise the 2026 gross domestic product forecast to a range of 2 to 4 percent.

The Ministry of Trade and Industry announced the revised figures on Tuesday, confirming that gross domestic product rose 6.9 percent year-on-year in the final quarter of 2025, up from an advance estimate of 5.7 percent. On a seasonally adjusted quarter-on-quarter basis, output increased by 2.1 percent, exceeding the preliminary reading of 1.9 percent. This marked a slowdown from the third quarter's 4.6 percent year-on-year growth but highlighted resilient momentum heading into the new year. For the full year, the 5.0 percent expansion topped the ministry's prior forecast of around 4 percent and followed 2025's 5.3 percent growth, driven primarily by manufacturing, wholesale trade, and finance and insurance sectors.

The electronics cluster within manufacturing saw robust expansion, fueled by strong demand for artificial intelligence-related products such as semiconductors for data centers. Wholesale trade benefited from growth in machinery,...