Singapore. According to analysts, the central bank will further tighten its monetary policy in April if inflation worsens. Headline inflation increased 0.2% month-on-month and 5% year-on-year, while core inflation rose 0.8% MoM and 5.5% YoY.
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While authorities are expecting inflation to slow down in the first half of this year, more tightening will be done in 2023, according to UOB’s report. The same sentiments are shared by RHB.
RHB added that the growth in January was caused by the increase in the GST rate, as well as the effects of the Lunar New Year events.
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