Amid rising inflation that is expected to reach all time highs, the Monetary Authority of Singapore (MAS) recently announced its policy decision to boost the Singapore dollar.
The MAS
mentioned that it will recentre the midpoint of the Singapore dollar’s nominal effective exchange rate policy band up to its prevailing level with no change to the slope or width of the band as a means to tackle global economic uncertainty and domestic inflation rates.
Right after the MAS made its announcement, the Singapore dollar jumped in value against major currencies such as the US dollar, Japanese Yen, and the Malaysian Ringgit.
SGD |
USD |
EUR |
GBP |
JPY |
MYR |
AUD |
CNY |
1.00 |
0.726 |
0.707 |
0.593 |
95.1 |
3.24 |
1.04 |
4.92 |
How Much Foreign Currency S$1 Can Exchange for
Source: Google, As of Aug 02, 2022 03:32 UTC
All Numbers Are to 3 Significant Figures
But what exactly does all this mean? How does this work? And what do these policy changes mean for Singaporeans?...