Singapore, Jan 2, 2025 – Singapore has reported its strongest economic growth in a decade, with the Ministry of Trade and Industry (MTI) announcing a preliminary estimate of 4.0% GDP growth for 2024. This surpasses the 1.1% growth recorded in 2023 and exceeded the MTI's upwardly revised forecast of "around 3.5%" issued on November 22.
The robust growth was driven by a broad-based expansion across various sectors. The construction sector, boosted by increased public project contracts, grew by 5.9% year-on-year in the fourth quarter, outpacing the previous quarter's 4.7%. The services sector also contributed significantly, expanding by 4.3%. Although the manufacturing sector's growth moderated to 4.2% from 11.1% in the previous quarter, production in both the electronics and transport engineering segments remained robust.
Prime Minister and Finance Minister Lawrence Wong expressed optimism about the economy's resilience. "We have achieved growth that exceeded expectations in 2024," he said in his New Year's message. "The economy is on a solid footing, and real incomes for our people will continue to rise." Wong noted that the median income of Singaporeans has grown by 2.2% annually over the past decade, outpacing inflation.
Focus on Future Growth and Cost of Living
Looking ahead, Wong announced that the upcoming 2025 Budget will outline the next steps of the Forward Singapore initiative, a long-term plan to shape the nation's future. The government plans to build on the progress made in 2024, such as the revision of public housing policies and increased support for lifelong learning.
Wong emphasized the government's commitment to enhancing Singapore's economic competitiveness, creating good jobs, and easing the cost of living. "We will continue to implement policies that strengthen our domestic economy and create good jobs for our people," he said. "We will also provide support to help Singaporeans cope with the rising cost of living."
The detailed measures to support these goals will be unveiled in the Budget statement, scheduled for February 18, 2025.
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