The Monetary Authority of Singapore (MAS) is likely to undertake a more aggressive double-barrelled move to further tighten its Singapore dollar policy so as to mitigate the impact of rising imported inflation.
Analysts expect MAS to steepen the slope of its Singapore dollar nominal effective exchange rate (S$Neer) and also recentre the policy band higher.
The combined impact of these moves would be to effectively strengthen the Singdollar to fight imported inflation at a time when consumer prices here have risen the most in 14 years.
Economists reckon that the Singapore central bank will raise the appreciation (also known as the slope) of S$Neer towards 2 percent, from its current estimated 1.5 percent.
Recentring the S$Neer higher would further underscore the strength of the Singdollar.
But to avoid injecting currency volatility and ensure stability of the Singdollar, the MAS is unlikely to widen the policy band, experts reckon.
This story is from the October 13, 2022 edition of The Straits Times.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the October 13, 2022 edition of The Straits Times.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
British novelist David Lodge was twice shortlisted for Booker Prize
British novelist David Lodge, who was shortlisted for the Booker Prize twice, has died at the age of 89, his publisher said on Jan 3.
A CITY FOR BABIES
After a successful experiment, The City of Babies Lab has opened a new permanent space dedicated to children aged from birth to 23 months.
Scientist Names 16 New Spider Species After Jay Chou's Songs
A Chinese scientist has named 16 new spider species after songs by popular Mandopop musician Jay Chou.
Actress JJ Jia Xiaochen upset with hubby for not remembering wedding anniversary
Chinese actress JJ Jia Xiaochen has grumbled about her husband, Hong Kong action star Louis Fan, on social media again.
Actress Chen Liping leaves Mediacorp after 40 years
Actress Chen Liping, a household name in the local entertainment industry, has left broadcaster Mediacorp after 40 years.
Raising four cats costly, but gives Rui En four times the joy
In this new series, The Straits Times speaks to pet-owning personalities about the trials and delights of raising their fur kids
Vet Talk Check that your pet is eating safely during the festive season
Pet ownership is on the rise in Singapore, with many families treating their furry companions as one of their own.
Learning to embrace change positively
On the last evening of our recent family holiday, my three children were having a boisterous conversation in the bedroom of the apartment we were staying in.
STRONGER, TOGETHER
Good parent-teacher relationships can boost a child's confidence and holistic development
Roaring Off To A-League Adventure
Tan makes Brisbane debut as sub in loss to Canberra on her return from knee surgery
