The Singapore dollar is undervalued and likely to rise. For inflation is likely to accelerate and “further calibration” of the monetary policy may be needed, says the International Monetary Fund in its just released report on Singapore. The report, released after IMF executive board consultations with Singapore, is interesting in what it has to say about property prices.
But first look at the growth projections. The IMF expects the Singapore economy to grow 9.9 per cent this year, far less than the Singapore government's own estimate of 13 to 15 per cent growth. Here is Singapore's medium-term outlook from the IMF report. The figures from this year onwards are IMF forecasts.