SINGAPORE, April 14 — Singapore’s central bank is sitting tight.

The Monetary Authority surprising analysts today with no changes to its policy — bucking the trend of easing around the world.

As the Singaporean economy is guided by the local currency rather than interest rates, officials left the trading band stable in its half-yearly statement.

The Singapore dollar strengthened against the US dollar on the announcement.

However some analysts believe a weaker currency could help prop up the city state’s exporters and manufacturers to offset the slowing economy.

Advanced estimates for first quarter GDP show the economy slowing to only 1.1 per cent on a quarterly basis compared to nearly five per cent growth in the last quarter.

And many analysts believe this softer stance will still lead to easing at the central bank’s next meeting in October. — Reuters

A view of the Monetary Authority of Singapore (MAS) building in the downtown financial district in Singapore. — AFP pic