THE Ministry of Trade and Industry (MTI) and Monetary Authority of Singapore (MAS) announced today that the MAS core inflation on a year-on-year basis rose to 4.4% in June from 3.6% in the previous month, reported Xinhua.

Meanwhile, the CPI-All Items inflation rose to 6.7% year-on-year in June from 5.6% in May.

Singapore’s MAS core inflation excludes the costs of accommodation and private transport, and CPI-All Items inflation represents the rise in the consumer price index (CPI) for all items.

According to MTI and MAS, the increase in core inflation this June reflected stronger price increases across the broad categories of services, food, retail and other goods, as well as electricity and gas.

The CPI-All Items inflation picked up due to the rise in core inflation, as well as higher private transport and accommodation inflation.

On a month-on-month basis, Singapore’s core CPI and CPI-All Items increased by 0.7% and 1%, respectively.

The two authorities said that the republic’s inflationary pressures will remain elevated in the months ahead, with the MAS core inflation projected to peak in the third quarter before easing towards the end of the year. For the full year, Singapore’s CPI-All Items inflation is expected to come in at 5-6%, while MAS core inflation is projected to average 3-4%.

“However, there remain upside risks to inflation from fresh shocks to global commodity prices, as well as domestic wage pressures,” they added. – Bernama, July 25, 2022.