By Chen Lin

SINGAPORE (Reuters – Singapore’s economy is likely to show a moderated pace in the fourth quarter. The uncertainty caused by Omicron COVID-19, and analysts predicting that next year’s outlook will be influenced by global efforts against the pandemic.

The median prediction of economists from Reuters shows that the GDP will grow by 5.4% compared to the year before. It marks the fourth quarter of continuous growth. In the third quarter, 7.1% of the economy experienced growth.

Brian Tan (regional economist) said, “The decline in y/y growth rate would be largely due unfavourable base effect.” Barclays (LON) A report highlighting the sharp recovery from the downturn caused by the pandemic. His forecast for overall growth in 2021 is 6.8%.

According to official forecasts, Singapore’s economy will grow between 3% and 5% by 2021.

The city’s growth has improved this year due to the virus-related economic restrictions that have hampered the economy and the slow global economy. This is because countries all over the globe are now adjusting their lives in order to live with coronavirus.

However, the tourism hub has suspended the sale of tickets https://www.reuters.com/world/asia-pacific/singapore-freeze-new-ticket-sales-quarantine-free-travel-2021-12-22 for arriving flights and buses under its quarantine-free travel programme last week as the Omicron variant spreads.

Singapore has now vaccinated 87% its residents. 38% have received their COVID-19 booster shot as of Monday

“Assuming the omicron passes over in early 2022 then an increase in services momentum will occur.” Selena Ling of OCBC Bank’s treasury strategy and research, stated that the same applies to construction. “Border relaxation could allow more foreign workers back,” she said. In line with the official forecast, Ling expects growth of 3% to 5.5% in 2022.

The unexpected tightening of monetary policy by the central bank at its October meeting was due to rising inflationary pressures and an improvement in global economic conditions.

Many economists expect that the central bank will tighten once again in April of next year, as prices continue to rise.