2019 Singapore Construction Market Review and Outlook
2018 marked the 10-year anniversary of the 2008 global financial crisis. As financial markets are inherently cyclical, economies are bracing for a few challenging years ahead.
Analysts are anticipating higher risk period for stocks and bonds, with the bull market losing its momentum. The global economy is projected for slower growth this year (3.5%), versus (3.7%) growth in 2018. Amidst growing concern for a full-blown trade war, China’s GDP growth this year is expected to decelerate to 6.2% [Global Economic Prospect, World Bank, January 2019], while the Federal Reserve expects the US economic growth to slow this year to 2.3%.
The Belt Road Initiatives will continue to drive infrastructure growth in the region in 2019, while growth forecast for Southeast Asia’s most robust economies is expected to slow as key regional elections loom ahead this year [Nikkei Asian Review, December 2018]. In Singapore, business sentiment slips for the 3rd straight quarter, while domestic inflationary pressure is rising. Growths in the manufacturing and services sector are expected to be static, compounded with the foreign workers quota tightening and wage growth pressure.
Threesixty Cost Management Pte Ltd is a subsidiary of Surbana Jurong which specialises in cost management and contractual administration from project inception to completion.