MAS Holds Policy Steady, Sees Gradual 2024 Growth Despite Slowing Inflation

MAS kept monetary policy unchanged, expecting Singapore's economy to improve gradually in 2024 amid slowing inflation.

MAS maintained the slope, width, and midpoint of the S$NEER policy band, saying the current appreciation path is assessed to be sufficiently tight.

MAS shifted to a quarterly monetary policy statement schedule starting 2024 for more frequent reviews amid global uncertainty.

Singapore's GDP grew 0.7% year-on-year in Q3, picking up from 0.5% growth in Q2, but full-year growth still expected at the lower half of 0.5-1.5%.

Core inflation forecast revised down to average 2.5-3.5% in 2024 on moderating global prices and slowing labor costs.