Singapore’s inflation rate on a month-over-month basis for November 2025 registered at 0.00%, according to the latest release from the Sigmanomics database. This figure contrasts with the 0.40% increase recorded in October and falls short of the consensus estimate of -0.10%. The flat reading marks a pause in inflation momentum after a volatile summer and early autumn period.

Drivers this month

• Energy prices stabilized, contributing negligible inflationary pressure.
• Food inflation softened, offsetting earlier gains from supply disruptions.
• Services inflation remained steady, supported by stable wage growth.

Policy pulse

The current inflation rate sits below the Monetary Authority of Singapore’s (MAS) implicit target band, suggesting room for a cautious monetary stance. MAS is likely to maintain its current policy settings, monitoring inflation dynamics closely without immediate tightening.

Market lens

Immediate reaction: SGD/USD remained stable within a narrow 0.10% range post-release, while 2-year government bond yields edged down by 3 basis points, reflecting subdued inflation expectations.

The inflation rate MoM is a critical macroeconomic indicator reflecting short-term price changes. Singapore’s zero percent inflation in November contrasts with the 12-month average MoM inflation of approximately 0.12% over the past year. Historically, the inflation rate has shown significant month-to-month swings, including a peak of 0.70% in June 2025 and a trough of -0.40% in August 2025.

Monetary Policy & Financial Conditions

MAS’s policy framework, which targets the Singapore dollar nominal effective exchange rate (S$NEER), remains accommodative but vigilant. The inflation pause reduces immediate pressure for tightening, though persistent global inflation risks and wage growth trends keep the outlook uncertain. Financial conditions remain broadly neutral, with credit growth steady and lending rates stable.

Fiscal Policy & Government Budget

Singapore’s fiscal policy continues to support economic resilience through targeted spending and subsidies, particularly in energy and food sectors. The government budget remains balanced, with no immediate inflationary fiscal impulses expected in the near term.

External Shocks & Geopolitical Risks

Global supply chain disruptions have eased but remain a latent risk. Geopolitical tensions in key trade corridors could reignite inflationary pressures. Commodity prices, especially oil and food staples, are closely watched for their pass-through effects on domestic inflation.

Drivers this month

• Energy price stabilization contributed 0.00 pp to inflation, down from 0.15 pp in October.
• Food prices declined slightly, subtracting 0.05 pp from the overall rate.
• Services inflation held steady, adding 0.05 pp.

Market lens

Immediate reaction: SGD/USD showed minimal movement, while short-term bond yields declined slightly, indicating market confidence in contained inflation risks.

Looking ahead, Singapore’s inflation trajectory faces multiple influences. The baseline scenario projects modest inflation averaging 0.10% MoM over the next quarter, supported by stable commodity prices and moderate wage growth. However, upside risks include renewed supply chain disruptions or geopolitical shocks that could push inflation above 0.30% MoM. Conversely, a global economic slowdown or sharper-than-expected currency appreciation could drive inflation into negative territory, around -0.10% MoM.

Scenario probabilities

• Bullish: Inflation accelerates above 0.30% MoM (25% probability) due to energy price spikes and wage pressures.
• Base: Inflation remains stable around 0.10% MoM (55% probability), reflecting balanced supply-demand dynamics.
• Bearish: Inflation dips below zero (-0.10% MoM) (20% probability) amid global slowdown and currency strength.

Structural & Long-Run Trends

Singapore’s inflation remains influenced by structural factors such as productivity gains, demographic shifts, and technological adoption. These trends support long-run price stability but also introduce episodic volatility as the economy adjusts to external shocks and policy changes.

Singapore’s November 2025 inflation rate MoM reading of 0.00% signals a pause after recent volatility. While this reduces immediate inflation concerns, the macroeconomic environment remains complex. Policymakers must balance inflation control with growth support amid external uncertainties. Financial markets are likely to remain cautious, pricing in a range of outcomes. Structural trends favor long-term price stability but require vigilance against episodic shocks.

Overall, the inflation outlook for Singapore is cautiously balanced, with a slight tilt toward stability but risks on both sides. Continued monitoring of core indicators and external developments will be essential for timely policy responses.

Key Markets Likely to React to Inflation Rate MoM

Singapore’s inflation data typically influences currency markets, bond yields, and select equities sensitive to interest rates and consumer demand. The following symbols historically track inflation trends closely:

• SGDUSD – The Singapore dollar’s exchange rate versus the US dollar reacts to inflation shifts and MAS policy expectations.
• DBS – Singapore’s largest bank, sensitive to interest rate changes driven by inflation.
• OCBC – Another major bank impacted by inflation-driven monetary policy.
• BTCUSD – Bitcoin often reacts to inflation expectations as a perceived hedge.
• USDSGD – The inverse of SGDUSD, useful for tracking currency sentiment post-inflation data.

FAQs

What is the current inflation rate MoM for Singapore?

The latest inflation rate MoM for Singapore in November 2025 is 0.00%, indicating stable prices compared to the previous month.

How does Singapore’s inflation affect monetary policy?

Inflation readings guide MAS’s policy stance, influencing exchange rate management and interest rate expectations to maintain price stability.

What are the risks to Singapore’s inflation outlook?

Risks include global supply chain disruptions, geopolitical tensions, commodity price volatility, and domestic wage pressures.

Key takeaway: Singapore’s inflation rate MoM pause signals a critical juncture, balancing between easing price pressures and latent risks, shaping cautious policy and market responses.

This has been drafted with AI assistance and then thoroughly reviewed, refined, and approved by our human editorial team to ensure accuracy, and originality.

Updated 11/24/25