Singapore inflation eases to -0.5% in 2015, from 1% in 2014

SINGAPORE inflation eased to -0.5 per cent in 2015, from one per cent in 2014, said the Department of Statistics on Monday.

Full-year core inflation - which excludes the costs of accommodation and private road transport - moderated significantly to 0.5 per cent, from 1.9 per cent in the preceding year.

For the month of December, inflation stood at -0.6 per cent year-on-year - slightly higher than November's -0.8 per cent. This was mainly due to a stronger pick-up in petrol costs and overall services prices.

December core inflation rose marginally to 0.3 per cent from 0.2 per cent a month earlier, due to higher services inflation.

While the Monetary Authority of Singapore (MAS) and the Ministry of Trade and Industry (MTI) reiterated their 2016 headline and core inflation forecasts at -0.5 to 0.5 per cent, and 0.5 to 1.5 per cent, respectively, they flagged that there is "significant uncertainty" over oil prices.

"There is significant uncertainty over the outlook for average global oil prices for the year as a whole. MTI and MAS will continue to closely monitor the developments in global oil prices and assess their impact on domestic inflation," they said.