Economic growth could exceeed 4-6% forecast: MAS

MAS Managing Director Ravi Menon said the government could upgrade its GDP forecast for 2021.

Singapore’s economic growth could exceed initial estimates of 4% to 6%, Monetary Authority of Singapore (MAS) Managing Director Ravi Menon said in a speech delivered, Wednesday.

“Singapore’s GDP (gross domestic product) growth could exceed the upper end of the 4% to 6% forecast range, barring a setback to the global economy,” he said.

The government forecast range of 4% to 6% was maintained in May in light of the Phase Two (Heightened Alert) period, which implemented stricter restrictions to prevent the spread of COVID-19.

The Ministry of Trade and Industry and MAS will review the GDP forecast again in August, following the preliminary estimates for the second-quarter GDP.

Meanwhile, MAS also revised upwards its CPI-All Items inflation forecast to 1.0% to 2.0% from 0.5% to 1.5%, taking into consideration higher car prices in the second quarter.