The consumer price index (CPI) inflation in Singapore in August eased to 0.9 percent year on year, compared with 1.2 percent and 1.8 percent in July and June respectively, authorities said on Tuesday.
The Ministry of Trade and Industry and the Monetary Authority of Singapore said that the retreat was partly attributable to a fall in the premiums on Certificates of Entitlement (COE), which are required if one wants to own a car in Singapore. The COEs are priced through open bidding.
The cost of private road transport fell by 2.9 percent year on year, following a 1.6 percent fall in July. Petrol pump prices also rose at a slower pace of 0.7 percent, compared with 3.1 per cent a month ago, due to the recent weakness in global oil prices.
Services inflation edged down to 2.1 percent in August from 2.5 percent in July. Accommodation cost declined by 0.2 percent after coming in flat in July, due to the soft housing rental market.
The core inflation, which excludes changes in the price of private road transport and accommodation, eased slightly to 2.1 percent from 2.2 percent in July.
The Monetary Authority said the inflation is expected to come in at 1.5 to 2 percent this year, while core inflation is expected to stay elevated at 2 to 3 percent./.