Singapore expects economy to slow after record 2Q

Singapore said it expects economic growth to wane after a record second quarter as export demand from the U.S. and Europe slows.

Gross domestic product for April through June grew 18.8 percent from a year earlier, slightly less than the 19.3 percent growth initially announced last month, the Trade and Industry Ministry said Tuesday. The growth was the fastest since the government began releasing quarterly GDP figures in 1975.

The ministry maintained its forecast for the Southeast Asian city-state's economy to grow between 13 percent and 15 percent this year.

"The weakness in the U.S. labor and housing markets, combined with a decline in consumer confidence will affect household spending," the ministry said in a statement. "Recovery in ... the E.U. is expected to remain sluggish."

Singapore, which relies on manufacturing, tourism and finance, has rebounded strongly from last year's recession as global demand for its exports of electronics, pharmaceuticals and oil rigs recovered.

The island also benefited from the opening of two casino resorts built by Las Vegas Sands and Malaysia's Genting which have attracted record visitors.

Manufacturing soared 45 percent in the second quarter from a year earlier, construction expanded 12 percent and services grew 11 percent, the ministry said.