Singapore's central bank is poised to tighten policy on Tuesday as the Iran war drives up import costs and threatens to push inflation beyond current projections.
Fifteen out of 18 economists in a Bloomberg survey expect the Monetary Authority of Singapore to tighten policy at its April 14 review.
The trade ministry will also release how the economy fared in the first quarter after Singapore warned that growth will take a hit this year.
Economists expect Singapore's gross domestic product to shrink by 0.9% in the first three months, compared with the fourth quarter.
The MAS has flagged it will update its inflation outlook — a signal economists say could intimate a policy move.
Core inflation this year is likely to be at 1.9%, according to the median in the survey, that's at the upper end of the government's projection in February.
Singapore's near-total reliance on imported energy leaves it exposed to the Middle East crisis.
Fuel, electricity and transport costs are already rising, with businesses facing higher logistics and input prices.
Foreign Affairs Minister Vivian Balakrishnan last week warned that the economic fallout from the war could worsen.
