FX.co ★ Singapore Economy Grows 5% in 2025, Upgrades 2026

Singapore’s economy grew 5% in 2025, slowing slightly from the 5.3% expansion in 2024 but coming in above the Ministry of Trade and Industry’s (MTI) advance estimate of 4.8%. MTI also raised its 2026 growth forecast to a range of 2%–4%, from the previous 1%–3%, citing increased resilience in the global economy.

The ministry noted that a sustained boom in artificial intelligence, expansionary fiscal policies in major economies, and accommodative global financial conditions are expected to support global growth this year.

In the fourth quarter of 2025, Singapore’s GDP rose 6.9% year-on-year, up from 4.6% in the preceding quarter and above the advance estimate of 5.7%. This was the fastest pace of expansion since the fourth quarter of 2021.

For the full year 2025, growth was driven mainly by manufacturing, wholesale trade, and the finance and insurance sector, with strong AI-related demand for electronics providing a significant boost to overall activity.