Singapore seen allowing stronger currency

SGD to stay on a “modest, gradual” appreciation path.

According to a report by Bloomberg, the Monetary Authority of Singapore will probably keep favoring modest currency gains as it seeks to curb inflation while supporting economic growth.

All 23 analysts polled by Bloomberg News say the MAS, which uses the exchange rate rather than borrowing costs as its main policy tool, will let the Singapore dollar stay on a “modest and gradual” appreciation path. Gross domestic product probably slowed to an annualized 0.6 percent last quarter from 6.1 percent in the three months through December, a separate survey showed. The decision and the data are due April 14.

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