The Macroeconomic Review, published by the Monetary Authority of Singapore (MAS), said the domestic-oriented sector should see a gradual pickup in activity, while prospects for the travel-related sector have also improved slightly even though its recovery is likely to be protracted.
Meanwhile, the trade-related and modern services clusters will be supported by recoveries in major trade partners and continued strength in global electronics demand, it added.
The MAS reiterated that Singapore's economy will grow by 6-7 percent in 2021, and continue rising at a slower but still-above trend pace in 2022, barring the materialization of downside risks arising from the evolution of the virus or global economic developments.
The MAS also said that Singapore's economic recovery stalled over the last two quarters amid a resurgence in COVID-19 infections in the country's community.
The country's domestic-oriented activity was curtailed by mobility restrictions to slow the transmission of the virus, while the external-facing trade-related and modern services sectors fared better and provided some support to overall growth.
"As in the third quarter this year, output in the economy had returned to its pre-pandemic level on aggregate, although there remained significant disparities in performance across industries," it added.
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