Singapore’s economy advanced 5.7% yoy in Q2 2026, slowing from an upwardly revised 6.3% expansion in Q1, which was the strongest annual growth since Q3 2024, but remaining above estimates of 5.5%, according to preliminary estimates. Growth was mainly supported by the goods-producing sectors (10.4% vs 8.4% in Q1), with manufacturing output surging 12.2%, accelerating from 8.0% in the previous quarter due to strong AI-related demand. Construction growth eased (6.2% vs 12.9%). Meanwhile, the services sector moderated (4.6% vs 6.2% in Q1), mainly reflecting slower growth in wholesale & retail trade and transportation & storage (6.3% vs 9.3%), information & communications, finance & insurance, and professional services (3.9% vs 4.5%), as well as accommodation & food services, real estate, administrative & support services, and other services industries (2.7% vs 3.2%). Quarterly, GDP grew 1.1%, following an upwardly revised 1.3% expansion in Q1, marking the softest growth since Q1 2025.