The private sector in Singapore fell into contraction territory in December, the latest survey from S&P Global revealed on Thursday with a PMI score of 49.1.
That’s down from 56.2 in November and it moves beneath the boom-or-bust line of 50 that separates expansion from contraction.
Lower private sector activity was recorded in December for the first time since November 2020. An absence of demand expansion and COVID-19 disruptions led to the paring back of business activity according to panelists. Sub-sector data showed the consumer services sector was the most affected.
Although modest, demand for Singaporean goods and services fell in December due to an assortment of factors including higher costs and deteriorating economic conditions. Externally, higher costs and weaker global conditions also affected demand from abroad.