RHB Bank has revised its full-year forecast for Singapore’s non-oil domestic exports (NODX) growth to 15.5% for 2026, up from an earlier projection of 11.5%. This adjustment is attributed to a stronger-than-expected year-to-date performance and ongoing robust demand in the electronics and electrical (E&E) sector, according to Barnabas Gan, Group Chief Economist and Head of Market Research at RHB Bank.
The report highlights that the sustained strength in E&E production, alongside artificial intelligence-driven demand, is expected to continue driving NODX and industrial production performance throughout the year. However, Gan cautions that despite the impressive year-to-date NODX performance, vigilance is required due to potential downside risks.
In July, Singapore’s NODX surged by 24.2% year-on-year, although it experienced a slight month-on-month seasonally adjusted decline of 0.3%. This growth follows an upwardly revised 20.8% year-on-year increase in June, but it fell short of Bloomberg’s estimate of a 26.5% year-on-year rise.
This revision in the NODX forecast underscores the importance of the E&E sector in Singapore’s export landscape, as it continues to be a key driver of economic growth. The updated forecast reflects the dynamic nature of global trade and the evolving demands of technology-driven industries. As the year progresses, RHB Bank will continue to monitor these trends closely, ensuring that their economic strategies align with the shifting market conditions.
