Response to "Money-changers at bay" - The Economist, 7 February 2015
21 February 2015
Editor The Economist
You asserted that Singapore adjusted the trading band of its currency allowing the Singapore Dollar to weaken against the US Dollar to make sure that its exports stayed competitive (“Money-changers at bay”, 7th Feb 2015). The adjustment was in fact made in view of the significant changes to the inflation outlook and not to boost exports. Currency weakening in an economy as open as Singapore is not effective in enhancing competitiveness.
Edward Robinson Assistant Managing Director (Economic Policy) & Chief Economist Monetary Authority of Singapore