Singapore Economic Growth

On Singapore economic growth Singapore economic growth has been maintaining a steady rate. On February 14, 2007 national government of Singapore had announced an economic growth rate of 7.9 percent for fiscal 2006.

Economic growth Singapore and governmental strategy Singapore's national government had been following economic strategies and tactics that have borne fruit in form of economic development for this South East Asian country. From financial year 1960 till fiscal 1999, Singapore had been able to achieve an average real annual economic rate of growth of 8 percent. SG economic growth post 1999 Singapore's economy developed well after financial year 1999, even though it had been affected by regional monetary problems. In financial year 1999, rate of growth was 5.4 percent and in fiscal 2000 this rate went up to 9.9 percent. Singapore's economy suffered in 2001 as a result of financial crisis. In financial year 2002, Singapore's economy increased at a rate of 2.2 percent but this rate came down in fiscal 2003. In 2003, rate of growth achieved by Singapore was 1.1 percent. Much of this problem resulted from breakout of Severe Acute Respiratory Syndrome, commonly known as SARS. However, in financial year 2004 there was a major reversal of economic fortunes of Singapore. It recorded a stupendous rate of growth of 8.3 percent. It was followed up in financial year 2005 with a growth rate of 6.4 percent and 7.9 percent in 2006. Causes for economic development of Singapore There are a number of factors responsible for economic development in Singapore. A principal reason is increasing demand for electronic products all around world. Singapore, being a major producer of electronic goods, has been able to use this demand for their country's benefit and overall economic progress. Other industries in Singapore have also contributed to Singapore's economic well-being through their impressive business in sectors like pharmaceuticals, financial services and manufacturing. Foreign relations of Singapore with United States of America Singapore has always maintained a cordial relationship with United States of America and this has helped their economy by virtue of USA being among major export partners of this southeast Asian country.