Singapore inflation, both core and headline measures, came in faster-than-expected in April, as higher business costs continue to feed through to consumer prices.
The core measure, which excludes private transport and accommodation and a key gauge watched by the central bank, came in at 5% from a year earlier, according to a statement from the Department of Statistics released Tuesday. That was faster than the 4.7% estimate in a Bloomberg survey and compares with the 5% level in March.
The Monetary Authority of Singapore, which kept monetary policy settings unchanged last month, had said that core inflation would stay elevated in the next few months, as accumulated business costs transmit through consumer prices. Headline inflation last month at 5.7% from a year earlier was also quicker than the 5.5% median estimate.
While overall inflation is showing deceleration in many economies, core prices are still stubborn across some countries. That poses a conundrum for policymakers, with some including Singapore opting to pause their tightening cycle while others press ahead with their inflation fight.
Other details from Tuesday’s print:
- Increase in health care inflation was highest since June 2013 while uptick in recreation was most in four decades, according to data
- Food prices rose 7.1% from year ago
- Housing and utilities increased 4.5% year-on-year
--With assistance from Tomoko Sato.