Singapore sees no early relief from global inflation pressures

Gains in commodity prices may hurt Asia’s growth should it force governments to tighten domestic policies to control inflation, Singapore Finance Minister Tharman Shanmugaratnam told Parliament today in the nation’s budget speech.

“Food and other commodity prices have climbed sharply, because supply has been affected by harsh weather conditions while demand continues to grow in China and elsewhere,” Shanmugaratnam said. “The political uncertainties in the Middle East have also driven oil prices up. There will not be early relief from these inflationary pressures.”