Singapore's consumer price index (CPI) remained muted in February, despite the celebration of the Lunar New Year falling within the month, reported officials Monday.
The city-state's CPI rose 1.2% on year in February, modestly cooling from a 1.4% on-year gain in January, said the Monetary Authority of Singapore (MAS), and the Ministry of Trade and Industry (MTI), in a joint statement.
On month, consumer prices in Singapore rose 0.6% in February from January.
The city-state's CPI-core, which strips out certain housing and transportation costs, rose 1.4% on year in February, up from a 1% on year gain in January, while the metric rose 0.5% on month, added officials.
The higher rate of inflation in February, as measured by the CPI-core, was "largely because of higher inflation in services, food, and retail and other goods, partly reflecting seasonal effects associated with the Chinese New Year," said officials. Last year, the annual holiday fell in January.
Pushing Singapore prices up in February were private transport costs, up 2.4% on year.
In contrast, electricity and gas bills declined 4.3% on year in the month, added officials.
The oil-importing Singapore, like the world, is keeping an eye the Middle East war.
"Global energy prices have risen significantly in recent weeks due to the ongoing conflict in the Middle East. Singapore's import cost pressures are likely to pick up in the near term," said officials.
On Singapore's domestic front, unit labor costs are likely to edge higher in 2026, "although the extent of the pick-up will be dampened by sustained productivity growth. Meanwhile, private consumption demand should remain steady, amid continued real wage increases," said MAS and MTI.
Despite higher crude prices pending, Singaporeans can expect modest inflation in the 1% to 2% range in 2026, said the agencies, affirming earlier forecasts.
Comments