Singapore: MAS keeps monetary policy unchanged
October 12, 2012
At its latest semi-annual policy meeting on 12 October, the Monetary Authority of Singapore (MAS) announced it will maintain the slope of the Singapore dollar (SGD) nominal effective exchange rate, as well as the width of the policy band and the level at which the band is centred. The decision surprised most market analysts, who had expected an easing of the monetary policy. In its accompanying statement, the MAS stated that "the global economy is likely to experience an extended period of slow growth". Regarding price developments, policymakers stressed that core inflation "receded recently but will face upward pressure from higher food and services costs", while overall inflation "will remain elevated for some time".