MAS’s latest decision comes as the Singapore economy is expected to strengthen over 2024 with growth expected to become more broad-based. The slightly negative output gap is projected to narrow further in the second half of 2024, even though underlying inflationary pressures are expected to gradually fade off.
The Monetary Authority of Singapore (MAS) says it will maintain the prevailing rate of appreciation of the Singapore dollar nominal effective exchange rate (S$NEER) policy band. There will no change to the band’s width and the level at which it is centred, says the central bank in its Macroeconomic Review published on April 26.
According to MAS, the S$NEER has continued to strengthen in the upper half of the appreciating policy band after the rate of appreciation was also retained at the MAS monetary policy statement (MPS) in January this year.
