Singapore's economy is expected to continue its moderate growth as some external-oriented sectors benefit from the uplift in the U.S. economy, but certain sector will be affected by the sluggish demand in the Eurozone and China, the Monetary Authority of Singapore, or MAS, said in its bi-annual macroeconomic review on Tuesday.

"Thus, sectors that cater to final demand in the US will fare relatively favourably, while those that are tied to the Eurozone and China could be weighed down by the sluggish performance in these economies," the report said.

"Concomitantly, some of these external-facing industries will continue to grapple with resource constraints and falling product prices," the MAS added.

The report also stated that the domestic-oriented sectors are expected to remain resilient on account of firm underlying demand, though those segments that are more reliant on labour input, or face greater competition, could experience profit margin pressure.

The GDP is forecast to grow 2.5 percent to 3.5 percent this year. The same pace is expected to be continued in 2015.

"Higher productivity and more capital-intensive modes of production will provide a firmer basis for Singapore's future growth prospects," the report said.

RTTNews