Singapore: Inflation moderates in December
January 23, 2014
In December 2013, consumer prices fell 0.3% over the previous month, which contrasted the 0.7% increase recorded in November. The reading marks the lowest figure in eight months. According to Statistics Singapore, December's decrease reflects lower prices for private road transport as well as recreation and entertainment.
Annual inflation fell from 2.6% in November to 1.5% in December. The figure was below the 2.0% increase the market had expected. Annual average inflation inched down from 2.6% in November to 2.4% in December.
The Monetary Authority of Singapore's (MAS) annual core inflation measure, which excludes the cost of accommodation and private road transport, fell from 2.1% in November to 1.5% in December.
The MAS expects average inflation to be between 2.0% and 3.0% in 2014. FocusEconomics Consensus Forecast panelists expect inflation to average 2.8% in 2014, which is down 0.1 percentage points from last month's estimate. For 2015, the panel sees average inflation at 3.0%.
Author: Dirina Mançellari, Senior Economist