Ask: NUS Economists

From sashimi to Toyota: How currency changes affect S'poreans

A weaker Singapore dollar has small effects on imported food prices, but larger effects on
food and machinery exports

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Q: How does a weaker Singapore dollar affect households and companies?

A: In its latest monetary policy statement, Singapore's central bank eased its policy stance by allowing for a weaker exchange rate. This is in the light of the strong economic headwinds triggered by the Covid-19 pandemic.

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