Singapore's economy shrinks in Q1 due to COVID-19

ISTANBUL

The Singapore economy narrowed 2.2% in the first quarter of 2020, versus the same quarter last year, the country's Trade and Industry Ministry announced on Thursday.

Quarterly, the country's economy contracted sharply 10.6% due to the effects of the novel coronavirus in all sectors, according to a press release by the ministry.

The country's manufacturing, construction, and services sector shrank in the first quarter, it noted.

While the ministry expected that the country's GDP growth rate will be between -0.5 and 1.5 in 2020, it reduced its forecast to between -1% and -4%.

The U.S.-based credit rating agency announced on Wednesday that the world economy is also expected to narrow 0.5% in 2020 due to the pandemic.

After first appearing in Wuhan, China last December, the infection has spread to at least 175 countries and territories.

The number of confirmed cases worldwide has surpassed 472,100 while the death toll is over 21,300 and almost 114,800 have recovered, according to data compiled by the U.S.-based Johns Hopkins University.

Despite the rising number of cases, most who become infected suffer only mild symptoms and recover.