Singapore, which is already in recession, could experience negative growth next year, the city-state's premier has warned.

Prime Minister Lee Hsien Loong said the recession will probably last a year but beyond that there could be several years of slow growth.

Growth in 2009 could be negative, he said, according to a text of his remarks received on Monday.

To help deal with the downturn and to prepare for the future, the government is bringing forward its budget from February to January, Lee said. The proposed budget will include measures to support growth and jobs, strengthen business competitiveness and stimulate domestic demand, he said.

At the same time, Singapore is in a strong position, Lee said.

Two casino projects under construction are starting to recruit thousands of employees while "many plants" are setting up in Singapore, he said.

The Ministry of Trade and Industry lowered the city-state's full-year growth forecast to around three percent, citing a slowdown in the global economy and key domestic sectors.

The move came as the ministry released preliminary data showing that real GDP declined by 6.3 percent in the third quarter after contracting 5.7 percent in the previous quarter, the ministry said.

Japan and Hong Kong have followed Singapore into recession.