The private sector in Singapore continued its expansion in December, although at a more restrained pace than in previous months, according to the latest report from S&P Global released on Monday. The Purchasing Managers' Index (PMI) registered at 51.5, a drop from November's 53.9. Despite the decline, the figure remains above the critical 50-point threshold that differentiates expansion from contraction.
Business activities grew modestly and recorded their slowest growth in 22 months by the end of 2024, aligning with the trend in new business, which slowed to its most sluggish pace since February 2023. Singaporean businesses generally experienced increased demand as a result of successful business development initiatives. However, some sectors reported a deceleration in December, as noted by survey participants.
The finance and insurance sector saw the fastest rise in new business, whereas manufacturers and construction firms faced declines. This softer new business growth contributed to a reduced backlog accumulation rate for December. The increase in unfinished work was the lowest observed in two years.
