+ A
A -
AFP
Singapore
Singapore’s central bank eased monetary policy Monday as the city-state, seen as a bellwether for the health of global trade, heads for a deep recession due to the coronavirus pandemic.
The easing echoes moves made by other countries and comes after data last week showed the city-state suffered its sharpest contraction in the first quarter since the global financial crisis.
The Monetary Authority of Singapore said it had flattened the slope of the band at which the local dollar is allowed to move against a basket of currencies of its major trading partners -- effectively weakening the local unit.
Instead of using interest rates, trade-reliant Singapore manages monetary policy by letting the local dollar rise or fall against a currency basket of its trading partners.
“Major uncertainty remains. The recovery in the global economy will depend on the epidemiological course of the pandemic and the efficacy of policy responses,” the central bank said.
Singapore
Singapore’s central bank eased monetary policy Monday as the city-state, seen as a bellwether for the health of global trade, heads for a deep recession due to the coronavirus pandemic.
The easing echoes moves made by other countries and comes after data last week showed the city-state suffered its sharpest contraction in the first quarter since the global financial crisis.
The Monetary Authority of Singapore said it had flattened the slope of the band at which the local dollar is allowed to move against a basket of currencies of its major trading partners -- effectively weakening the local unit.
Instead of using interest rates, trade-reliant Singapore manages monetary policy by letting the local dollar rise or fall against a currency basket of its trading partners.
“Major uncertainty remains. The recovery in the global economy will depend on the epidemiological course of the pandemic and the efficacy of policy responses,” the central bank said.
