Singapore's central bank, the Monetary Authority of Singapore (MAS), tightened its monetary policy on Tuesday by increasing the rate of appreciation of the Singapore dollar against a basket of trading-partner currencies — a move designed to make imports cheaper and curb rising prices driven by energy market volatility linked to the Middle East conflict. MAS also raised its 2026 core and headline inflation forecast to 1.5–2.5 per cent, up from a previous range of 1–2 per cent, marking the second upward revision since October. The bank warned that GDP growth in 2026 is likely to slow from 2025's above-trend pace, with Singapore's economy already contracting 0.3 per cent on a quarterly basis in the first quarter of this year.