Singapore is expected to maintain its monetary policy as inflation risks persist

The Monetary Authority of Singapore (MAS) is scheduled to conduct its policy review next Monday, with no changes expected to be made, amid uncertainties caused by inflation and geopolitical tensions. Of the 10 analysts polled by Reuters, nine predict no changes, citing persistent inflationary pressures, including rising oil and food prices. Moody's Analytics forecasts potential easing in 2025 if imported inflation decreases. Singapore’s growth has slowed, with GDP rising by 2.9% year-on-year in Q2 2024. While other global central banks have started cutting rates, MAS is expected to hold off due to the economy performing near its potential.