Singapore: MAS sees positive momentum in economic growth

• Jun 29, 2017

THE Monetary Authority of Singapore (MAS) sees a positive momentum in economic growth around the world, with global trade recovering, a more entrenched economic expansion in the US, recovery in domestic demand in the eurozone, and a steady growth path from China.

It reiterated the expected 1-3 per cent growth in the Singapore economy this year, with “a strong likelihood” that it would be higher than the 2 per cent registered last year. Core inflation is projected to average 1-2 per cent in 2017.

“The global economy should be able to absorb the ongoing increase in US interest rates, as the rise in rates is itself a response to strengthening economic activity,” said MAS managing director Ravi Menon on Thursday, as the central bank released its annual report.

“But vigilance is still called for – economies and markets have been accustomed to low interest rates. They could be thrown off balance if rates rose faster than expected.”

Source: http://www.businesstimes.com.sg/government-economy/mas-sees-positive-momentum-in-economic-growth