Overview
- Core and headline inflation were both 1.2% in November, unchanged from October and below the 1.3% expected by analyst polls, with core at its highest since December 2024.
- Services inflation rose to 1.9% from 1.8%, led by larger increases in point‑to‑point transport and health insurance costs.
- Electricity and gas prices fell 4.1% year on year after a larger drop in electricity costs, helping offset pressure from services.
- Retail and other goods inflation eased to 0.3% as prices of clothing, footwear and personal‑care appliances declined, while food inflation held at 1.2%.
- MAS and MTI reaffirmed forecasts for core inflation at about 0.5% in 2025 and 0.5%–1.5% in 2026, with overall inflation at 0.5%–1.0% in 2025 and 0.5%–1.5% in 2026, and they flagged risks from supply shocks, global demand shifts and oil prices.