Construction growth slows to 6.8% in South-east Asia's wealthiest country

The construction industry in Singapore took a major hit in the third quarter of the year, it emerged today as the country became the first Asian state to enter recession.

South-east Asia's wealthiest country said gross domestic product had dropped by 6.3% over the period, having shrunk by 5.7% in the previous three months.

The faltering economy has had a significant impact on construction, with sector growth slowing to 6.8%, down from 19.8 per cent, during the quarter.

Singapore's prime minister Lee Hsien Loong said Asian economies were in for a “rough ride” over the next year at least.