Singapore’s core inflation rate eased to 2.5% in July, reaching its lowest point since February 2022. This decline reflects a broad-based slowdown in price increases across various sectors.
Gradual Moderation Expected in the Coming Months
According to the Monetary Authority of Singapore (MAS) and the Ministry of Trade and Industry (MTI), core inflation is anticipated to continue on a gradual moderating trend throughout the third quarter. The agencies also expect a further decrease in inflation rates during the fourth quarter.
Year-on-Year Decline in Inflation
July’s core inflation rate represents a year-on-year decrease, signaling a significant improvement in price stability compared to previous months. The easing of inflationary pressures is seen as a positive development for the economy, with expectations that the trend will persist in the near term.
Outlook for the Rest of the Year
As inflation continues to moderate, MAS and MTI are optimistic that the trend will provide relief to consumers and businesses alike. The ongoing reduction in inflation rates is expected to contribute to a more stable economic environment as the year progresses.
