Persistent inflation a concern for MAS

Singapore's persistent inflation poses a complex challenge for the Monetary Authority of Singapore (MAS), as the country's open economy makes it vulnerable to prices of goods from abroad and money inflows that raise house prices, said Trade and Industry Minister Lim Hng Kiang on Monday.

But the MAS has taken various steps to control inflation, including strengthening the Singapore dollar, cooling the property market and introducing measures to raise productivity, said Mr Lim.

He was responding to questions raised by Nominated MP Tan Su Shan, who asked if the Government had a target inflation range and steps to ease price pressures as inflation is catching up with gross domestic product growth numbers.

Mr Lim said the MAS is 'very concerned' about inflation as the consumer price index has hovered at just below 5 per cent and core inflation, which excludes accommodation and private car transport, has been stuck at 3 per cent for 'a longish time'.