SINGAPORE: Singapore’s core inflation rose further to 4.8% in July, mainly due to sharp increases in food, electricity and gas prices, official data showed on Tuesday (23 Aug). rice field.
This was higher than June’s 4.4% and beat Reuters’ forecast of a 4.7% increase.
Singapore last reported higher growth than last time in November 2008, with core inflation at 5.5%.
Core inflation excludes accommodation and private transportation costs.
The headline consumer price index, or overall inflation, rose to 7% y/y in July, above the 6.7% reported in June.
“Apart from the rise in core inflation, inflation in both private transport and accommodation also rose in July,” the Monetary Authority of Singapore (MAS) and the Ministry of Trade and Industry (MTI) said in a joint media statement.
Rise in overall inflation
Overall inflation rose in July. This is largely due to higher food, electricity, gas, and accommodation inflation.
Food inflation rose, reaching 6.1% in July, as prices for both foodservice and non-prepared food surged.
Electricity and gas inflation rose from 20% in June to 24% in July on the back of significant increases in electricity and gas prices.
Lodging inflation also picked up, reaching 4.6% in July, as home rent growth accelerated.
Service inflation rose to 3.5% in July. This is due to a significant increase in the cost of outpatient services, airfare, recreational and cultural services.
Private transport inflation rose to 22.2% from 21.9% in June, driven by strong vehicle price increases.
Meanwhile, prices of retail and other commodities rose 2.8% in July, registering a modest pace of gains, as inflation in telecom equipment, pharmaceuticals and health products eased. At the same time, the cost of personal items has fallen.
