S'pore economic growth seen slowing in 2008

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SINGAPORE, Oct 30 (AFP): Singapore's economic growth, tipped at 7.0-8.0 percent this year, is expected to slowdown next year, reflecting a weaker US economy, the central bank said today.
The Monetary Authority of Singapore (MAS) said in its semi-annual review economic growth in 2008 is projected at 4.0-6.0 per cent.
"The outlook for next year is more uncertain, as it hinges on the severity of the weakness in the US housing sector," the MAS said.
"A temporary slowdown in the US, largely confined to the housing sector, with moderate impact on the US consumer, should not derail the Singapore economy from this baseline growth scenario," it said.
"On the other hand, a scenario of a more protracted and severe slowdown in the US economy, with its attendant knock-on effects on the rest of the global economy, cannot be ruled out."
The US economy, a major export market for Singapore's trade-led economy, is likely to slow in the first half of 2008, but should recover in the second half, the central bank said.
There are worries that a crisis in the US subprime credit market could spillover into the general economy and affect consumption and investments, which is bad news for the rest of the world.