Singapore: Inflation accelerates in October
November 26, 2013
In October, consumer prices rose 0.2% over the previous month. The increase was slightly above the 0.1% rise recorded in September, which had marked the lowest figure in five months. According to Statistics Singapore, October's reading was driven by higher prices for transportation and food, which offset lower prices for accommodation and recreation.
Annual inflation rose from 1.6% in September to 2.0% in October. The figure undershot the 2.2% increase the market had expected. Annual average inflation inched down from 2.8% in September to 2.7% in October.
The Monetary Authority of Singapore's (MAS) annual core inflation measure, which excludes the cost of accommodation and private road transport, inched up from 1.7% in September to 1.8% in October.
The MAS expects average inflation to be between 2.5% and 3.0% in 2013 and between 2.0% and 3.0% in 2014. FocusEconomics Consensus Forecast panelists expect inflation to average 2.8% in 2013, which is down 0.1 percentage points from last month's estimate. For 2014, the panel sees average inflation at 3.0%, which is down 0.1 percentage points from last month's estimate.
Author: Dirina Mançellari, Senior Economist