Singapore’s economy expanded 5.4 per cent in the July-September quarter, driven by manufacturing and construction linked to AI and semiconductors. Officials say growth may slow as global AI demand eases.
01Summary
- 01GDP rose 5.4 per cent year on year in July-September, down from 6.2 per cent in the second quarter, according to advance estimates released on Wednesday.
- 02Manufacturing grew 7.5 per cent, led by electronics, precision engineering, transport engineering and general manufacturing clusters.
- 03Construction expanded 8.8 per cent, including AI-related investment such as data centres.
- 04Singapore’s central bank kept policy unchanged on Wednesday and said it expects core inflation to average 1.5-2.0 per cent in 2026.
- 05The IMF forecasts Singapore’s economy will grow 5 per cent in 2026, after growth of 5 per cent in 2025.
02Why it matters
The figures underline how strongly Singapore is benefiting from the global AI and chip investment boom. They also suggest the pace of growth could ease if that demand cools, which matters for a major trading hub and semiconductor supplier.
Answers are generated by AI from the story summary; they are not investment, health or legal advice.





