Singapore Economy Shaken! Recession Looming, Or Is It?!

A Drop in the Force There Is

Hmm eased its monetary policy Singapore has. Twice now it has. Like trying to balance the Force this is. GDP growth lower than expected it was. 3.8% a small number that is. Expected 4.3% the economists did. Missed they have! Much like Jar Jar Binks missing a subtle cue embarrassing it is. "Do. Or do not. There is no try," but try they did and miss they did.

S$NEER What is This?

Reduce the rate of appreciation the MAS will. Of the S$NEER this is. Sounds like a droid name S$NEER does! Currency against its trading partners it strengthens or weakens. Keep the Force in balance they try. Like a Jedi balancing on one foot difficult it is. A modest and gradual appreciation they seek. A path to the dark side this must not be.

Forecasts Cloudy They Are

Downgraded its GDP forecast the Ministry of Trade and Industry did. 0% 2% for 2025 they now say. Earlier 1% 3% they predicted. Always in motion is the future hmm? Like trying to catch a greased porg difficult forecasting is! Blame the U.S. and China they do. Trade wars always a disturbance in the Force these are.

Weakness Felt It Is

External demand weakened it has. Manufacturing negatively affected it will be. Services like finance and insurance also slowing. Risk off sentiments affecting incomes they are. Like a Wookiee losing at dejarik very unhappy everyone is. Feel the Force you must to navigate these troubled waters.

Impact Significant It Is

Tariffs imposed by the U.S. worry Prime Minister Wong they do. Significant impact on Singapore's growth he fears. Recession maybe maybe not he says. Uncertain the future is. Like a youngling facing Darth Vader fear everyone feels. “Fear is the path to the dark side. Fear leads to anger. Anger leads to hate. Hate leads to suffering.” So calm we must remain.

Inflation Lowered They Have

Headline inflation lowered it is. 0.5% 1.5% the forecast now. Core inflation also down. Maybank economist Brian Lee agrees. Weakening outlook and modest inflation he sees. A growth slowdown but not a recession he believes. Hope there still is. “Luminous beings are we not this crude matter.” Better times must believe we!