Global uncertainties hit Singapore's manufacturing, services sectors

Another poll shows services sector has become increasingly pessimistic about short-term business prospects.

Singapore's manufacturing sector is passing through a weak phase as uncertainties in the global economy, a downturn in China and the oil price crash have muddled sentiment.

A survey conducted by the Economic Development Board (EDB) has found that 29 percent of the more than 400 manufacturers polled between December and January thought the conditions will take a downturn in the next five months. Only seven percent think the conditions will improve while the rest see no change.

Meanwhile, a poll conducted by the Department of Statistics (DOS) showed businesses in Singapore's services sector have become increasingly pessimistic about short-term business prospects.

About 28 per cent of 1,500 services firms polled see business expectations to turn grim over the next six months. The DOS says almost all the services sector layers expect the level of business activity to decline in the six months.

Earlier on Tuesday, Economic Development Board said manufacturing output fell for an 11th consecutive month in December.

On a three-month moving average basis, manufacturing output contracted 6.7% in December 2015, compared to a year ago.

The global downturn and a consequent lack of positive sentiment also reflected in a dull property market in Singapore, recent data showed.

Prices of private property in Singapore fell 3.7 per cent in 2015, following on a 4 per cent decline in 2014, according to the latest data.

Rentals of private residential properties have also fallen on a similar scale, the Urban Redevelopment Authority (URA) said.