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Singapore March exports fall 8.3% y/y, drop less than forecast

Published 04/16/2023, 09:20 PM
Updated 04/16/2023, 09:27 PM
© Reuters. FILE PHOTO: A ship docks at PSA's Tanjong Pagar container port in Singapore April 18, 2016. REUTERS/Edgar Su
BARC
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By Chen Lin

SINGAPORE (Reuters) - Singapore's March non-oil domestic exports (NODX) shrank 8.3% year-on-year, official data showed on Monday, though the drop was smaller than the previous month and less than forecast.

Economists had expected a 20.8% contraction in a Reuters poll. Exports had contracted 15.8% in February.

On a seasonally adjusted month-on-month basis, NODX increased 18.4%, Enterprise Singapore data showed, versus the prior month's 8.2% decline. Economists had forecast 1.7% growth.

The trade reliant city-state has now recorded six consecutive months of year-on-year contraction in the NODX, amid concerns over the economic outlook.

The Monetary Authority of Singapore (MAS) left its monetary policy settings unchanged last week, even though the inflation rate remains elevated, reflecting policy makers' concerns about its growth outlook.

Although year-on-year growth was seen in non-electronic exports, electronic exports contracted 21.2% in March, following a 13.1% decline in February due to a decline in integrated circuits (ICs), personal computers (PCs) and disk media products exports.

© Reuters. FILE PHOTO: A ship docks at PSA's Tanjong Pagar container port in Singapore April 18, 2016. REUTERS/Edgar Su

"This upside surprise was mainly due to pharmaceuticals... so not sure if this upside surprise is really reflective of a improved external outlook," said Brian Tan, senior economist at Barclays (LON:BARC).

"The electronics exports still looks fairly bleak," he said. Electronics are Singapore's main growth engine for exports.

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