Inflation eases in 2024 on lower prices of cars, clothing, some food items

Inflation eased again in 2024 after the highs of 2022, thanks in part to cheaper cars, certain food items, clothing and footwear.  Price pressures remain, but households in all income groups have seen inflation fall by between 1.6 and 3 percentage points over the past 12 months. Food prices, a key expenditure item for all households, continued to rise in 2024, albeit at a slower pace. Consumers can switch behaviour and buy cheaper but lower-quality products, said NTU assistant professor of economics Chua Yeow Hwee. He added that high-income households have more scope to do this and so keep their budget largely intact.

Click here to read article.