Inflation fears have pushed property prices in Singapore upwards in recent years. Fuel and commodity prices are on the rise globally, and the Global financial crisis has created inflationary pressures. Supply chain snafus and tighter monetary policy have also contributed to rising prices. But are these factors causing the escalating price of residential properties? What can the private sector do to combat these pressures?

Inflationary pressures from high global fuel and commodity prices

Despite a robust economic recovery, inflation in Singapore remains elevated. Inflation in the country’s core measures rose more than three per cent in March compared to the same period last year, and is almost double the historical average. Despite the small economy, global events have put upward pressure on prices, including the recent arrival of COVID-19 vaccines and a robust global economic recovery. Meanwhile, gas and oil prices rose due to a supply crunch and recent geopolitical …