Singapore’s manufacturing growth forecast has been raised to 9% for 2026, supported by strong electronics production and sustained demand for artificial intelligence (AI)-related products, according to RHB. The revised outlook follows stronger-than-expected manufacturing performance, with industrial production (IP) averaging 9.9% year-on-year (YoY) growth in the first half of 2026. The stronger manufacturing outlook also led to an upgrade in Singapore’s 2026 GDP growth forecast to 4.5% from 4.0%. The firm expects electronics and precision engineering to remain key contributors to manufacturing growth in 2026, supported by sustained AI-related capital expenditure and demand for semiconductor components and chipmaking equipment. The firm expects industrial production growth to reach 8.0% in the second half of 2026, supported by continued strength in electronics manufacturing.