Home News Singapore economy

Singaporeans are spending more but incomes aren't keeping up: DBS

Bloomberg8/2/2022 12:16 AM GMT+08  • 2 min read
Singaporeans are spending more but incomes aren't keeping up: DBS
At a wet market in Singapore. Photo: Bloomberg
Font Resizer
Share to WhatsappShare to FacebookShare to LinkedInMore Share
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

The global inflation wave that has crashed onto Singapore’s shores is hitting households harder as they pile up more expenses while incomes aren’t keeping up.

That’s the conclusion of DBS Bank analysts, who dissected data from 1.2 million retail customers -- anonymous and aggregated -- to understand the impact and implications of soaring price growth in the city-state. Consumers are spending more relative to income, with an expenses-to-income ratio rising to 64% in May from 59% a year earlier.

More troubling, low-income groups are seeing expenses grow 5.6 times faster than their income -- providing a window on why policymakers have prioritized relief targeted toward the most vulnerable households. Those subsidies aren’t accounted for in the income component of the ratios DBS computed.

For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
Subscribe to The Edge Singapore
Get credible investing ideas from our in-depth stock analysis, interviews with key executives, corporate movements coverage and their impact on the market.
© 2022 The Edge Publishing Pte Ltd. All rights reserved.