sta g na nt inc o me s will we ig h d o wn o n p riva te d e ma nd . Unc e rta intie s o ve r the p a c e o f the withd ra wa l o f mo ne ta ry a nd fisc a l stimulus me a sure s p o se a n a d d itio na l risk. While the se fa c to rs ma y d a mp e n g ro wth in the se c o nd ha lf o f 2010 a nd re sult in a n une ve n re c o ve ry, the like liho o d o f a re turn to re c e ssio na ry c o nd itio ns is lo w in the a b se nc e o f furthe r fina nc ia l sho c ks.
Sing a p o re ’ s e c o no mic p ro sp e c ts in 2010 will b e c lo se ly tie d to the c o nd itio ns in the e xte rna l e nviro nme nt. The ma nufa c turing se c to r will b e sup p o rte d b y inve nto ry c yc le a d justme nts a nd a ny up lift in p riva te fina l d e ma nd in the e xte rna l e c o no mie s. Tra d e -d e p e nd e nt se c to rs a re like ly to c o ntinue to b e ne fit fro m a g ra d ua l re sump tio n in g lo b a l a nd re g io na l tra d e flo ws in 2010.
