Singapore's exports rose at a 7.7% annual rate in August, beating market expectations

Singapore's non-oil domestic exports (NODX) rose 7.7 per cent in August from a year earlier, up from 5.9 per cent in July and beating market expectations as non-currency gold and special machinery projects boosted the country's overall export performance, according to official figures released on Thursday.

Singapore's non-oil domestic exports (NODX) rose 7.7 per cent in August from a year earlier, better than analysts' expectations of 3.7 per cent, the data showed. Exports of non-monetary gold surged 55.1 per cent on the back of increased safe-haven demand, boosting overall export performance. Special machines grew 25.7 percent. Electronics exports also rose 5.7 per cent, up from 2.8 per cent in July.

Brian Tan, economist at Barclays, said: "The unexpected pick-up in non-oil domestic exports was partly due to the strong performance of non-monetary gold. Shipments of non-monetary gold exceeded expectations, although a significant slowdown in pharmaceutical exports offset a rebound in electronics demand."

Economists said NODX in Singapore had risen 5.9 per cent so far, in sharp contrast to the global financial crisis and the collapse during the dotcom bubble. Given Singapore's status as a regional trade and transport hub, a rebound in exports is a good sign for Singapore. Singapore officials forecast that NODX for the full year will grow by 3% to 5% a year in 2020.

Singapore initially put in place lockdown measures from 7 April to 1 June to contain the spread of the epidemic, and began phase I of commercial activities on 2 June and phase II of commercial activities on 19 June.

Prime Minister Lee Hsien Loong said earlier that Singapore had made good progress in its response to the outbreak, with the death rate from confirmed cases among the lowest in the world and only a small number of new community-level infections. However, relevant prevention measures are still insufficient, and we should not relax our vigilance, otherwise the epidemic may strike again.