Singapore's inflation flat in November, halting deflationary trend

Singapore's inflation flat in November, halting deflationary trend

Singapore's core CPI rose 1.3 per cent in November from a year earlier.

People take photos with the skyline of the financial district of Singapore in the background
People take photos with the skyline of Singapore's financial district in the background. (REUTERS/Edgar Su)

SINGAPORE: Singapore's headline consumer price index was flat in November from a year earlier, coming off a deflationary trend for the first time in two years, data from the Department of Statistics Singapore showed on Friday (Dec 23).

The all-items consumer price index (CPI) in November was flat at zero per cent from a year earlier, after falling 0.1 per cent in October.

Singapore's core CPI -which excludes the cost of accommodation and private road transport- rose 1.3 per cent in November from a year earlier,after rising 1.1 per cent in October.

The Monetary Authority of Singapore (MAS) and the Ministry of Trade and Industry (MTI) said in a joint press release that the higher level inflation mainly reflected a stronger pick-up in services fees and food inflation.

Overall services inflation increased to 1.5 per cent in November from 1.4 per cent a month earlier. The progressive phasing down of the Transitional Subsidies for MediShield Life premiums contributed to the rise in the cost of medical and dental treatment, offsetting declines in air fares and telecommunication services fees, MAS and MTI said.

Food inflation also edged up to 2 per cent from 1.9 per cent in the previous month, which the authorities said was due to a larger increase in the prices of non-cooked food items such as vegetables and fruits.

Private road transport costs rose by 0.2 per cent after remaining unchanged in October, primarily due to the smaller drag posed by petrol pump prices, they added.

Meanwhile, accommodation costs fell by 3.8 per cent in November, similar to the previous month, amid continued softness in the housing rental market.

Source: CNA/Reuters/mz

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