More policy easing is likely in the pipeline for Singapore, DBS's economics & strategy team says, as it cuts its economic growth forecasts for the city-state.

Growth has disappointed so far in 2025 and Singapore faces mounting risks from an increasingly protectionist global landscape, Chua Han Teng and Philip Wee say in a note.

MAS eased policy settlings, while advance 1Q estimates showed real GDP contracted for the first time since 1Q 2023.

Given the unpredictability and the volatility that are "the hallmarks of Trump 2.0," DBS expects the global economy and financial markets, including Singapore, to stay beholden to the U.S. tariff rollercoaster.

DBS anticipates much weaker growth in Singapore for 2H, cutting real GDP growth forecasts to 2.0% for 2025 and 1.8% for 2026 from 2.8% and 2.5%, respectively.