MAS has breathing room to react to sudden shocks in 2026: economists
Tariffs, fading AI chip demand or a sharper-than-forecast global slowdown could prompt looser policy – but tightening is possible too
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[SINGAPORE] Low inflation should give the Monetary Authority of Singapore (MAS) breathing room to loosen policy in 2026 if growth is unexpectedly hit, said economists.
Yet, resilient growth also means tighter policy is not off the table.
The baseline expectation is for MAS to hold policy steady throughout 2026, after two slight easings in early 2025.
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