FX.co ★ Singapore Inflation Rate Lowest Since 2021

Singapore's annual inflation rate decreased to 0.8% in May 2025, down slightly from 0.9% observed over the preceding three months and aligning with market predictions. This represents the lowest inflation rate since February 2021. The decline resulted from reduced prices in food (1.1% compared to 1.4%) and transport (1.7% compared to 1.8%). Furthermore, deflation intensified in the sectors of recreation, sport, and culture (-2% compared to -1%), as well as miscellaneous goods and services (-0.4% compared to -0.3%). On the other hand, healthcare costs saw an increase (2.7% compared to 2.5%), while expenses for housing and utilities remained stable at 1%. Deflation also eased in areas such as information and communication (-1.9% compared to -2%), household durables and services (-0.2% compared to -0.7%), and clothing and footwear (-3.3% compared to -3.4%). Monthly, the Consumer Price Index (CPI) rose by 0.7% in May 2025, recovering from a 0.3% decrease in April. Simultaneously, the annual core inflation rate slightly decreased to 0.6% in May 2025 from a three-month high of 0.7% in April.