Electronics manufacturing, bolstered by sustained demand for AI-related semiconductors, servers and server-related products, helped lift the numbers too.
The construction sector, in the midst of what has been described as a multi-year upcycle, grew 4.2% y-o-y, moderating from the 5.1% in the preceding 3Q2025.
On a quarter-on-quarter seasonally-adjusted basis, the economy grew by 1.9%, easing from the 2.4% expansion in the third quarter.
Among the services sectors, the wholesale & retail trade and transportation & storage sectors collectively grew by 3.9% in the fourth quarter, extending the 3.7% growth in the previous quarter.
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Growth in wholesale trade was driven by strong sales volumes in the machinery, equipment & supplies segment, led by the sales of telecommunications & computer equipment and electronic components amidst the AI boom.
The water and air transport segments helped move the overall growth of the transportation & storage sector.
The information & communications, finance & insurance and professional services sectors grew by 4.2% in 4Q, extending the 4.5% growth in the preceding 3Q.
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Growth in the information & communications sector was primarily driven by the IT & information services segment, whereas that in the professional services sector was mainly supported by the head offices & business representative offices segment.
Meanwhile, the finance & insurance sector grew on the back of growth across all segments, particularly the banking and insurance segments.
On a quarter-on-quarter seasonally-adjusted basis, this group of sectors expanded by 5.6%, accelerating from the 1.8% expansion in the third quarter.
The remaining sectors, such as accommodation & food services, real estate, administrative & support services, were up 3.2%, a slowdown versus the preceding 3Q's 4%.
On a quarter-on-quarter seasonally-adjusted basis, the sectors as a whole contracted by 0.5%, a pullback from the 1.2% growth in the third quarter.
As announced by Prime Minister Lawrence Wong in his New Year's Day message, Singapore, for the whole of 2025, grew by 4.8%, a slight acceleration from 4.4% in 2024.
