Inflation forecast at 3.8% for 2011:OCBC

The lower-than-expected February inflation does not affect OCBC's inflation forecast for this year.

Consumer prices appear to have stabilized in Feb, but the crude oil price and Japanese disaster situation still warrants close monitoring. AVA has suspended food imports from areas in Japan where radioactivity was detected in some food products.

OCBC also expected an inflation overshoot in H1.

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