Singapore Central Bank Keeps Monetary Policy Unchanged, Surprising Analysts
SINGAPORE — Singapore's central bank kept its monetary policy settings unchanged on October 14 in a move that surprised analysts, Reuters reported, with economic growth and inflation expected to ease slightly as the SI boom and supply constraints moderate. All 10 analysts polled by Reuters had expected the Monetary Authority of Singapore (MAS) to tighten policy, as robust growth and inflation risks bolstered the case for such a move.
The MAS said the Singapore economy should continue to expand at a firm pace in the immediate quarters ahead and moderate thereafter as the SI cycle eases from its exceptional pace and global financial conditions tighten. Core inflation is projected to ease discernibly from the middle of next year, as supply-driven imported inflation slows and domestic costs stay subdued. The central bank said it would maintain the prevailing rate of appreciation of its exchange-rate policy band, with no change to the width of the band or the level at which it is centred.
The Singapore dollar held steady at 1.2802 per U.S. dollar after the decision. OCBC economist Selena Ling told Reuters she was surprised and that it must have been a close call, adding that the MAS assessment of the core inflation trajectory was key.
Advance estimates showed Singapore's economy grew 5.4 percent year on year in the third quarter, and the MAS also narrowed its 2026 core inflation forecast range to 1.5 to 2 percent.
(Sources: Reuters, Monetary Authority of Singapore statement)
Source: GSM · USA (original Chinese edition)
Photo: Moheen Reeyad／CC BY-SA 4.0（Wikimedia Commons）
