Find New Condo launch at https://bit.ly/KeenOnOrie
The Government is keeping a close watch on this and will ensure that food prices and inflation do not spiral beyond manageable levels, he told Parliament.
The consumer price index (CPI), which measures inflation, has risen signifcantly from 0.9 per cent in the beginning of 2010 to 3.4 per cent from the June to September period, mainly due to rising costs of owning a car, said Mr Iswaran.
But in recent months, the Government has noticed a broader appreciation of inflation, including accommodation and services.
By the end of the year, inflation is likely to hit 4 per cent and stay at that level into the middle of 2011, before dropping to about 2 per cent, said Mr Iswaran.
'Cost pressures are growing, reflecting the high level of economic activity in Singapore,' he said, adding that the labour market has also been tightening. 'At the same time, food price inflation is expected to accelerate over the few months, given the spate of weather-related supply disruptions in various parts of the world.'
S'pore inflation set to rise
By Aaron Low (Nov 22, 2010)
INFLATION in Singapore is likely to rise in the next six months, supported by the booming economy and accelerating food prices, Senior Minister of State for Trade and Industry S. Iswaran said on Monday.The Government is keeping a close watch on this and will ensure that food prices and inflation do not spiral beyond manageable levels, he told Parliament.
The consumer price index (CPI), which measures inflation, has risen signifcantly from 0.9 per cent in the beginning of 2010 to 3.4 per cent from the June to September period, mainly due to rising costs of owning a car, said Mr Iswaran.
But in recent months, the Government has noticed a broader appreciation of inflation, including accommodation and services.
By the end of the year, inflation is likely to hit 4 per cent and stay at that level into the middle of 2011, before dropping to about 2 per cent, said Mr Iswaran.
'Cost pressures are growing, reflecting the high level of economic activity in Singapore,' he said, adding that the labour market has also been tightening. 'At the same time, food price inflation is expected to accelerate over the few months, given the spate of weather-related supply disruptions in various parts of the world.'