Singapore Core Inflation Climbs to 1.4% in February

On Monday, March 23, 2026, Singapore’s core inflation accelerated to 1.4% year-on-year in February, surpassing expectations and marking a noticeable uptick in domestic price pressures. This inflation rise, which excludes accommodation and private transport costs, came in slightly above economists’ forecasts, suggesting persistent underlying demand and cost increases in key sectors.

Inflation Surge in the Lion City: What’s Behind the Numbers

Singapore’s Ministry of Trade and Industry reported that core inflation—the Monetary Authority of Singapore’s preferred gauge—jumped to 1.4% in February 2026, up from 1.0% in January. This increase slightly exceeded the median forecast of 1.3% by economists and is the highest year-on-year reading since late 2024, driven by rising costs in services and food, partly linked to seasonal spending during Chinese New Year.

Inflation Snapshot:

·       Core Inflation (YoY): 1.4% (Feb)

·       January Core: 1.0%

·       Factors contributing: services, food, and retail price increases

This suggests that price pressures in Singapore are building steadily, even as headline inflation remains moderate.

Looking Ahead: Cost Pressures and Policy Signals

Singapore’s inflation stories this quarter paints a picture of gradual price escalation, with core inflation outpacing forecasts and hinting at sustained consumer and services costs. Economist sentiment points to cautious policy monitoring by MAS in the coming months as the city-state calibrates monetary stance amid evolving global conditions.