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                Source:Big Middle Small

                SINGAPORE, Aug. 11 (Xinhua) -- Singapore's Ministry of Trade and Industry (MTI) announced on Tuesday that it narrowed the gross domestic product (GDP) growth forecast for 2020 to "-7 to -5 percent" from "-7 to -4 percent."

                The ministry said that it considered the global and domestic economic environment, as well as the performance of the Singaporean economy in the first half of the year, before adjusting the GDP growth forecast.

                It said that since the MTI downgraded Singapore's GDP growth forecast for 2020 to "-7 to -4 percent" in May, the city-state has seen its economic outlook weakened slightly. Several of Singapore's outward-oriented sectors will continue being dragged by the subdued external economic environment.

                The reopening of international borders will take place on more gradual paces due to protracted COVID-19 situation worldwide, which will likely weigh on the outlook of sectors that are reliant on tourism and air travel in Singapore.

                The requirements on safe management measures slowed down the resumption of activity for the sectors that are reliant on foreign workers who reside in dormitories, and furthermore, casted negative spillover effects on the industries that support these sectors.

                The MTI also announced that Singapore's economy contracted by 13.2 percent year on year in the second quarter, worsening from the 0.3 percent contraction in the previous quarter. On a quarter-on-quarter seasonally-adjusted basis, the economy contracted by 13.1 percent, sharper than the 0.8 percent fall in the first quarter.

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