Economy to have uneven recovery in 2021: Standard Chartered

Certain business sectors will continue to struggle amidst labour shortages and mobility restrictions.

Standard Chartered Bank forecasts a 7% economic growth for Singapore for the year, higher than the government estimates of 4% to 6%.

However, this recovery will be uneven across sectors, to become more pronounced in the coming months.

It noted that the retail trade, real estate, professional services, admin and support services, food and beverage, transportation and storage, construction, and accommodation sectors have continued to underperform, with their gross domestic products below pre-COVID levels.

Externally oriented and modern service sectors such as manufacturing, finance and insurance, wholesale trade, infocomm, and utilities were less affected by the pandemic.

Key downside risks to growth include COVID-19 and higher inflation.