Singapore's non-oil exports continued to fall in March, but the rate of decline eased since February as demand for non-electronic products recovered, a report from the International Enterprise (IE) Singapore showed Wednesday.
The non-oil domestic exports, or NODX, declined 4.8 percent year-on-year in March, after a 30.6 percent slump in February. Economists expected a 5.4 percent fall in NODX last month.
Shipments of non-electronic products increased 2.3 percent annually in March, after a 32.1 percent drop in the previous month. The volatile pharmaceutical sector showed an improvement with a 2.9 percent increase in exports compared to last year.
The electronic sector remained weak, though the rate of decline in exports slowed to 17.9 percent from 27.4 percent in February.
Despite signs of recovery, exports to most of Singapore's top ten markets contracted during the month. Top three contributors to the NODX contraction in March were the EU 27, Malaysia and the US.
However, the rate of decline in shipments to these countries were much slower than in February. At the same time, NODX to China and Japan increased, compared to declines last month.
Advance estimates released by the Ministry of Trade and Industry last week revealed that the economy contracted 1.4 percent in the first quarter compared to the preceding three-month period. The manufacturing sector continued remain a drag on the economy, as a prolonged weakness in external demand hit the factory sector.
Last week, the Monetary Authority of Singapore's retained its policy of modest and gradual appreciation of the Singapore Dollar Nominal Effective Exchange Rate, saying the current stance will help anchor inflation expectations and facilitate restructuring of the economy towards sustainable growth.
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