Economists expect Singapore's monetary policy to remain unchanged in 2024, survey shows

SINGAPORE — Most economists are expecting Singapore's monetary policy to remain unchanged at the July and October reviews, according to a survey by the central bank, as they expect core inflation to be sticky at three per cent for the year.

Annual core inflation came in at 3.1 per cent in April, matching the rate in March.

The median forecast of 20 economists surveyed by the Monetary Authority of Singapore is for the economy to grow 2.4 per cent this year, unchanged from the previous survey in March.

The survey was conducted in end-May, after the government released first-quarter GDP results that posted the fastest growth in 18 months.

The 2.7 per cent year-on-year growth in Q1 was slightly above respondents' forecast of 2.6 per cent in the previous survey. This time round, respondents expect the economy in Q1 to grow 2.7 per cent year-on-year.

The trade ministry and MAS said in May it expects the core rate to gradually moderate before a more discernable step down in the fourth quarter. Both core and headline inflation were expected to average between 2.5 per cent and 3.5 per cent this year.

The central bank left monetary policy settings unchanged at a policy review in April. The next policy review is due in July.

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