Singapore's Monetary Authority (MAS) is expected to maintain its monetary policy unchanged during the upcoming review on July 31, amidst ongoing global economic uncertainty.
Economists' Forecasts
A Bloomberg survey indicated that 14 out of 19 economists anticipate MAS will keep its current stance. MAS previously eased policy in January and April, marking its most accommodative position in five years.
Strong Growth and Stable Inflation
Singapore's recent economic performance has been robust. The economy avoided technical recession, showing stronger than expected growth in Q2 2025. Meanwhile, inflation remains stable, with core prices rising 0.6% in June.
Global Risks and MAS's Cautious Approach
Despite improving domestic data, global risks play a critical role in Singapore's economic outlook. Escalating trade tensions between the U.S. and other nations may adversely impact the trade-dependent economy.
The interplay of global market conditions and domestic economic performance shapes MAS's cautious approach to monetary policy, leading to economists' expectations of future easing.
