, Singapore
473 views

Gov’t sees no recession in 2023: Tan

Authorities readied plans to combat high inflation.

Despite the continued rising inflation, Minister of State for Trade and Industry Alvin Tan said they do not expect recession or stagflation next year whilst staying prepared for global economic threats.

"We expect growth to moderate further next year. At this stage, we do not expect a recession or stagflation in 2023. Nonetheless, risks in the global economy remain significant," Tan said, in reply to parliament questions on the risk of stagflation. 

“These [risks] include further escalations in the Russia-Ukraine conflict, more severe global supply disruptions, risks to financial market stability if monetary policy tightening in advanced economies is faster than expected, and the trajectory of the COVID-19 pandemic,” he added. 

Tan also pointed out that rising global interest rates will impact lending and mortgage rates.

With higher global interest rates, Tan said Singapore’s domestic interbank interest rates also rose in tandem but it was moderated by boosting the Singapore dollar.

Once global interest rates could grow further, Tan warned businesses and households to look out for rising borrowing rates.

Government plans

With core inflation up 3.6%, the highest since 2008, the government has plans to address businesses and residents’ concerns by retaining a stable macroeconomic environment to ensure investor confidence.

For its part, the Monetary Authority of Singapore has been tightening monetary policies since October 2021. 

“The appreciation of the Singapore Dollar will help temper imported inflation,” Tan also said.

To help mitigate the impacts of rising prices, Singaporeans will also benefit from a $1.5b support package.

Some residents were already overwhelmed by inflation as more than half of Singaporeans said the government is not doing enough to handle inflation

Another research also showed that consumers are seeing inflation continue for another year.

Follow the links for more news on

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!