Managing Director of the Monetary Authority of Singapore (MAS) Menon says the fight against inflation is not yet over. Comments from Menon and the MAS’ reprot
- Growth will remain weak in the near term
- MAS not switching
from inflation-fighting mode to growth-supporting mode - Singapore
well-positioned for a second GST hike in 2024 if inflation falls to
2.5%-3% in q4 - MAS lowers forecast
range for 2023 headline inflation to 4.5% to 5.5%, vs previous 5.5%
to 6.5% - Singapore should see
further reductions in inflation by year-end - Singapore’s growth
prospects have dimmed, economy to operate slightly below underlying
capacity - MAS recorded net
loss of S$30.8 bln for FY 22/23, reflecting effects of monetary policy
tightening - MAS stands ready to
provide liquidity to ensure Singapore’s financial system remains stable - Core inflation
expected to end the year significantly lower at 2.5% to 3.0% - Monetary policy
steadfastly focused on medium-term price stability -
2023 GDP growth is projected at the midpoint of 0.5% to 2.5% range,
moderating from 3.6% in 2022
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The Monetary Authority of Singapore, the country’s central bank, left its monetary policy unchanged after five rounds of
tightening since October 2021, including two off-cycle moves.
This article was written by Eamonn Sheridan at www.forexlive.com. Source