Singapore managed to eke out growth in the third quarter, defying initial estimates of a contraction, prompting the government to hike forecasts for the full year.
The city state notched 1.3 percent on-quarter growth, government data showed on Thursday, compared with last month's advance forecast for a 1 percent contraction.
On an annualized basis, the economy grew a revised 5.8 percent in the quarter, also better than the 5.1 percent initial estimate, and is the fastest pace since first quarter of 2011.
The government also revised its full year growth forecast to between 3.5 percent and 4 percent, versus its previous projection of 2.5-3.5 percent.
"Externally-oriented sectors such as manufacturing, wholesale trade and transportation and storage are likely to support growth, in line with a slight pickup in the global economy," the Singapore Ministry of trade and Industry said in a statement.
For 2014, the government projects a "modest" 2.4 percent expansion for the economy.