Businesses across Singapore have a positive outlook for the first half of the year, with around 15% of firms expressing optimism about business conditions, according to data released by the Singapore Department of Statistics on Monday.

Around 11% of businesses are projecting deteriorating conditions, resulting in a net weighted balance of 4% of firms expecting a favorable outlook.

The retail industry is forecasting positive sentiment during the period, thanks to the upcoming festive period and Chinese New Year.

However, the transportation and storage industry sector could be bracing for challenging conditions due to weakening cargo demand and lower freight rates.

In terms of operating revenue, most industries expect to increase their hiring activities, with a net weighted balance of 8%.