Singapore's economy grows by 1.3% year-on-year in Q3

Singapore's economy grew by 1.3 per cent on a year-on-year basis in the third quarter of 2012, but contracted by 1.5 per cent on a quarter-on-quarter basis.

According a press release from the Ministry of Trade and Industry Singapore (MTI) on Friday, economic growth in the second quarter was better than expected and Singapore's economy remains on track to grow by 1.5 to 2.5 per cent in 2012.

The pullback in quarter-on-quarter growth momentum in the third quarter was mainly due to contraction in the manufacturing sector. On a year-on-year basis, the manufacturing sector grew by 0.7 per cent compared to the 4.6 per cent increase in the second quarter.

The construction sector grew by 8.6 per cent on a year-on-year basis in the third quarter and services producing industries rose by 1.1 per cent on a year-on-year basis.