Singapore's non-oil domestic exports (NODX) unexpectedly contracted in September due to declining demand for its electronic products, data released by International Enterprises (IE) Singapore showed Wednesday.
The non-oil shipments shrank 3.4 percent year-on-year in September against forecasts for a 1.2 percent growth. This followed a 10.7 percent year-on-year slump in August.
On a monthly basis, NODX increased 1.6 percent compared to the previous month's 9.1 percent fall.
Exports to all of the top ten markets, except Taiwan, Japan, China and Indonesia, declined in September. The top three contributors to the NODX contraction were the EU 27, Hong Kong and Malaysia.
NODX to the EU 27 decreased 15.7 percent and that to Hong Kong fell 17 percent. Exports to Malaysia declined 19 percent during the month.
Shipments of electronic products decreased 16.4 percent annually in September following 11 percent drop in the previous month. Demand for non-electronic products, meanwhile, expanded 4.2 percent.
The advance estimates from the Ministry of Trade and Industry, released last week, showed that the economy contracted 1.5 percent in the third quarter compared to the previous three months. This followed a 0.2 percent growth in the previous quarter.
The Monetary Authority of Singapore last week retained its tight the monetary policy with inflation expected to stay elevated for some time. MAS expects Singapore's GDP to grow 1.5-2.5 percent in 2012 while growth in 2013 is forecast to come in slightly below the economy's potential rate.
by RTT Staff Writer
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