Economics

Singapore Sees Slow Recovery as Economy Plunges by Record

  • Economy contracts annualized 42.9% as construction slumps
  • GDP growth forecast for this year narrowed to -5% to -7%
Photographer: Wei Leng Tay/Bloomberg
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Singapore’s economy suffered a bigger contraction in the second quarter than previously estimated, signaling a long recovery ahead for the trade-reliant nation.

Gross domestic product plunged a record 42.9% on an annualized basis in the second quarter from the previous three months, according to final estimates from the Ministry of Trade and Industry released Tuesday. That was worse than a previous estimate of a 41.2% contraction and compares with a forecast of -43% in a Bloomberg survey of economists.