Singapore Core Inflation Rate Hits 3-Month High

Core consumer prices in Singapore increased by 0.7% year-on-year in April 2025, accelerating from a four-year low of 0.5% in the previous month and surpassing market forecasts of 0.5%. This marked the highest core inflation rate since January, mainly driven by higher inflation in services and food, which more than offset a decline in retail and other goods inflation. Inflation accelerated for services (1.1% vs 0.6% in March), boosted by higher costs of health insurance and a smaller decline in airfares. Also, food inflation accelerated (1.4% vs 1.3%), as the prices of non-cooked food rose at a faster pace. Meanwhile, deflation was seen in retail & other goods (-1.2% vs -0.5%). On a monthly basis, core CPI rose by 0.5%. Last year, core inflation averaged 2.7%, much lower than 4.2% in 2023. Core inflation is projected to average 0.5–1.5% in 2025.

Core consumer prices in Singapore climbed 0.8% year-on-year in January 2025, sharply easing from a downwardly revised 1.7% rise in the previous month and much slower than market forecasts of 1.5%. This marked the lowest core inflation rate since June 2021, mainly due to moderating inflation across almost all broad core CPI categories: services (1.0% vs 1.6%), food (1.5% vs 2.3%), and accommodation (1.6% vs 2.1%), while deflation was seen in retail & other goods (-0.6% vs 0.5%) and electricity & gas (-2.9% vs 2.4%). Meanwhile, private transport costs increased due to higher car prices (2.8% vs -0.9%). Monthly, core CPI fell by 0.2% after rising 0.5% in December. Last year, core inflation averaged 2.7%, much lower than 4.2% in 2023. Core inflation is projected to average 1.0–2.0% in 2025. The Department of Statistics Singapore said the CPI for general households has been rebased from the base year of 2019 to 2024.