Economy

Economy: Booming exports start 2015
Jan '15 non-oil domestic exports (NODX) rose 4.3% y/y, beating consensus estimates of a 2% growth, driven by a sharp rise in pharmaceuticals alongside the pick up in electronics.

Meanwhile, non-oil re-exports (NORX) expanded 12.7%, mainly boosted by electronics (+23.5%) on the rise of IC’s, telecommunication equipment and PC parts. Non-electronic NORX also rose, but at a slower pace of 2.0% (Dec 2014: +6.3%).

Total imports declined the seventh straight month (Jan 2015: -13.4%; Dec 2014: -1.4%), in line with falling oil imports (-41.8%) as crude oil price fell further, offsetting the rise in non-oil imports (+1.1%), which makes up nearly 70% of imports.

Singapore recorded its largest ever trade balance of $8.5b in Jan 2015, nearly double the monthly average value of $4.6b over 2014.

Maybank-KE expects NODX to grow 2%-3% in 2015, compared to 2014's 0.7% decline.