IMF cuts Singapore's 2019 economic growth forecast to 2%

In its latest report, the Washington-based lender, the International Monetary Fund (IMF), slashed the 2019 economic growth forecast for Singapore to 2% from 2.3% amid global trade war.

Key Findings:

“Given global trade tensions, support from external sectors is expected to fall and growth drivers are projected to shift back to domestic demand.

Risks to the outlook are tilted to the downside and mainly stem from external sources, including a tightening of global financial conditions, escalation of sustained trade tensions, and deceleration of global growth.

Singapore’s economic growth should stabilize around 2.5% over the medium term.”

The USD/SGD cross trades around a flat-line near 1.3560 region, as the Singapore dollar remains little affected by the growth forecasts downgrade.