Expectations are up for all services sectors except one
It’s the only sector with a negative business outlook for the next quarter.
About 9% of services sector firms expect more favourable business conditions for October 2017 to March 2018, the Department of Statistics Singapore (SingStat) revealed.
According to its quarterly survey, this is an improvement from the -8% recorded over the same period last year.
About 20% of firms are optimistic about future business conditions, whilst 11% see a slower business. A majority or 69% think their business will remain the same.
All industries within the services sector foresee more favourable business conditions in the next quarter, except the real estate industry. A net weighted balance of -5% of firms have a positive business outlook for the next quarter.
"Within the real estate industry, firms engaged in the leasing of commercial premises expect weaker demand for their services," SingStat said.
Meanwhile, companies in the food & beverage (F&B) services, retail trade, and accommodation industries expect the year-end holidays to boost business in the next six months, with net weighted balances of +34%, +19%, and +11%, respectively.
About 20% of firms in the financial & insurance industry also expect business conditions to be more favourable. Within the industry, banks and insurance companies are among those that expect conditions to improve, SingStat said.
About 11% of firms in the recreation, community & personal services industry also see an improvement in business conditions, led by those in healthcare.
Meanwhile, 11% of services sectors firms expect operating receipts to increase during the period.