Singapore inflation feared to remain over 5% this year

This is on account of continued strong increases in accommodation costs, according to MAS.

The Monetary Authority of Singapore said, “In July, CPI inflation rose to 5.4%, mainly due to the increase in accommodation costs, as old tenancy contracts are reset at the current higher rental rates, as well as a sharp rise in COE premiums.”

MAS noted:

CPI Inflation is expected to remain elevated at slightly over 5% in the next few months, on account of continued strong increases in accommodation costs, before slowly trending down towards the end of the year. The high COE premiums imply that car prices will also remain a significant contributor to CPI inflation for the rest of the year. In comparison, MAS Core Inflation will be lower, although it will remain firm due to the continued pass through of earlier commodity price hikes and wage increases. For the whole of 2011, CPI inflation is expected to average between 4% and 5%, of which almost two-thirds will be accounted for by accommodation and private road transport costs. Excluding these two items, the MAS Core Inflation is projected to be 2-3%.

Also Read

NODX contraction eases to 9.3% YoY in April

DP Lawrence Wong seen staying on ‘same growth, policy path:’ expert

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit