Singapore tightens monetary policy again as inflation risks persist

Singapore's central bank has tightened monetary policy for a second consecutive time, defying market expectations as it warns inflation will remain elevated into early 2027. Analysts caution that Middle East tensions and rising energy prices could weigh on global demand despite a strong outlook for Singapore's technology sector. Meanwhile, the Monetary Authority of Singapore expects Singapore's economy to continue growing at a firm pace in the second half of the year, supported by robust AI-related investments. CNA speaks to Barnabas Gan, Group Chief Economist of RHB Bank.