Singapore Tightens Monetary Policy to Fight Inflation

The video discusses the exchange rate policy and its long-term implications for the Singapore dollar. The Monetary Authority of Singapore is primarily concerned with core inflation, which has seen a significant increase in recent months. The policy exchange rate band is used to control this inflation, allowing the Singapore dollar to appreciate. Moving forward, the Singapore dollar is expected to perform well against other Asian currencies, although its performance against the US dollar will be influenced by Federal Reserve policies.

What does the policy band mean for the Singapore dollar's value?

How did the Singapore dollar perform against the US dollar despite the MAS tightening its policy?