In October, Singapore's inflation rate reached its lowest point since March 2021.

• In October, Singapore's headline inflation rate decreased to 1.4% from 2% in September, due to a decline in the cost of cars and a moderation in the price increases of rental properties.
• The actual rise in the consumer price index was lower than the predicted 1.8% among economists surveyed by Reuters.
• Since March 2021, Singapore's headline inflation rate has been below 2% only once, which occurred in the most recent month, at 1.3%.

In October, Singapore's headline inflation rate decreased to 1.4% from 2% in September, due to a decline in the cost of cars and a slower increase in rent prices.

The headline inflation rate in Singapore fell below 2% for the first time since March 2021, despite economists expecting a rise of 1.8% among those polled by Reuters.

The core inflation rate in Singapore, excluding accommodation and private transport costs, was 2.1% in October, lower than the 2.8% recorded in September and below the 2.5% forecast in a Reuters poll.

According to the Monetary Authority of Singapore, the slowing of service inflation and the moderate increase in the prices of electricity, gas, medicine, and clothing are the reasons for the current economic situation.

The Singapore dollar strengthened by 0.13% to 1.34 against the U.S. dollar after the inflation reading.

GDP growth quickens

Unlike many other countries, Singapore does not set its monetary policy based on benchmark interest rates.

The Singapore dollar's exchange rate is managed by the Monetary Authority of Singapore to maintain the stability of prices and promote healthy growth.

The Singapore dollar fluctuates against the currencies of trading partners within an undisclosed policy band, which the MAS can adjust the slope, width, and level of.

In the third quarter, Singapore's economy grew 5.4% year on year, exceeding the 4.1% official advance estimate released previously.

Since the fourth quarter in 2021, the city-state's highest quarterly growth was recorded in the most recent quarter, with a growth rate of 6.1%, according to LSEG's data.

Singapore revised its forecast for this year's economic growth from 2.0 to 3.0% to around 3.5%.

— CNBC's Anniek Bao contributed to this report.