Asia facing growth shock as economic slump deepens

Singapore's economy may shrink more than previously forecast in 2009, foreshadowing a deepening slump throughout the region as exports and manufacturing contracted further in China, South Korea and Australia.

China's manufacturing declined for a fifth month in December, South Korea's exports fell by more than 15 percent for a second month, and Australian manufacturing shrank, reports on Friday showed.

Singapore's economy may contract as much as 2 percent this year, worse than a November prediction, the government said on Friday.