Singapore inflation moderated to 2.4% in 2013

Due to lower road transport cost.

According to a joint release by the Monetary Authority of Singapore and the Ministry of Trade and Industry, for the whole of 2013, CPI-All Items inflation averaged 2.4%, sharply lower than the 4.6% in 2012.

CPI-All Items inflation fell to 1.5% in December from 2.6% in the preceding month, mainly reflecting the decline in private road transport cost.

Private road transport cost decreased by 2.8% in December, following the 3.4% rise in November, on account of lower COE premiums. The recent weakness in car COE premiums partly reflected a high base as premiums surged in the same period one year earlier.

Accommodation cost rose by 2.9% compared to the 3.3% increase in the previous month, as housing rentals edged up at a slower pace on a year ago basis. Imputed rentals on owner-occupied accommodation (OOA) contributed 0.5% point to overall inflation, down slightly from 0.6% point in November.

Food inflation inched up to 2.7% from 2.6% in November due to a slightly faster pickup in non-cooked food prices.

Services inflation was stable at 2.8% as smaller increases in the cost of holiday travel and household services were offset by higher contributions from telecommunications and medical treatment costs.