Inflation set to edge higher as 2026 pressures firm: analyst

On the domestic front, unit labour costs may stabilise at slightly higher levels.

Inflation in Singapore is expected to edge higher in 2026 after bottoming out in the third quarter of 2025, according to DBS.

Core inflation averaged below 1% YoY in the first ten months of 2025.

For 2026, the bank forecasts core inflation at 1.0% and headline inflation at 1.2%, both within the Monetary Authority of Singapore’s 0.5% to 1.5% projection range.

DBS said the pickup will be mild. Externally, the global disinflation impulse is fading. Oil prices are still easing but at a slower pace, with Brent projected at about US$62 to US$67 a barrel in 2026, whilst global food prices are expected to remain stable.

The bank added that reduced deflationary spillovers from China, as “anti-involution” measures curb hyper-competition, should also limit downward price pressure.

On the domestic front, unit labour costs may stabilise at slightly higher levels, but DBS expects pass-through to consumers to remain manageable.

Administrative and green-related measures will add some upward pressure. These include the scheduled rise in Singapore’s carbon tax to $45 per tonne of CO₂e in 2026, which DBS estimates could lift electricity tariffs by around 4%, and a sustainable aviation fuel levy that will raise some travel-related prices.

If you've been wondering whether SBR could work for your company — yes, probably.

A lot of the companies we partner with started as readers. They'd been following our coverage for a while, saw their own customers and competitors in it, and eventually asked the obvious question: could we do something with you? The answer is usually yes. The shape of it depends on what you're trying to do.

The options are broader than most people assume — thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. Some partners use one channel; most use a mix. We figure out the right combination by starting with your brief, not with our rate card.

So if the question has been on your mind, here's the easy way to ask it.

We'll tell you honestly whether we can help, and how. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia