Amid weak global economic growth and trade policy uncertainty, Singapore residents have turned cautiously optimistic about inflation in the coming 2026. According to the latest Singapore Index of Inflation Expectations (SINDEX) jointly released on 22 July 2025 by DBS Bank and SMU’s Sim Kee Boon Institute for Financial Economics (SKBI), residents’ overall inflation expectations for the year ahead fell from 3.8% in March 2025 to 3.5% in June 2025, the lowest level since December 2021. SKBI’s findings showed that despite moderated price rises, residents still foresee slightly higher living costs, especially for housing and utilities, but most expect salary growth to remain stable in the range of 1%-5%.
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