Nine out of 10 analysts expect MAS to hold policy
Inflation cooled to 2.7 in August from 5.5 peak
Singapore39;s GDP growth forecast adjusted to 2.03.0 for 2024

SINGAPORE, Oct 9 Reuters Singapore39;s central bank is widely expected to keep monetary policy unchanged next week and hold off easing settings amid inflation and growth uncertainties caused by geopolitical tensions.

Of the 10 analysts polled by Reuters, nine expect the Monetary Authority of Singapore MAS to hold off making changes to its policy at the scheduled review next Monday.

Oil prices have climbed from recent geopolitical tensions in the Middle East, while extreme weather conditions are still holding sway over food prices, which remain above prepandemic levels, said Moodys Analytics economist Denise Cheok.

We see a reduction of slope of the SNEER policy band in the first half of the year, while a more drastic move of bringing down the midpoint of the band might be on the cards in the second half of 2025, should imported inflation continue to step down discernibly.

Cheok thinks MAS is likely to ease only next year.

Inflation in the Asian financial hub remains sticky. While it cooled from a peak of 5.5 in early 2023, it remained at 2.7 yearonyear in August.

The central bank expects core inflation to ease more significantly in the final quarter to 2.5 to 3.5 for the year .

Singapore is often seen as a bellwether for global growth as its international trade dwarfs its domestic economy.

Growth…