Singapore August core inflation up 1.1%, highest in two years

People shop for groceries at a supermarket after curbs on social gatherings and public activities were announced following a rise of coronavirus disease (COVID-19) cases in Singapore May 14, 2021. REUTERS/Caroline Chia (Caroline Chia / reuters)

SINGAPORE, Sept 23 (Reuters) - Singapore's key price gauge rose by the fastest pace in more than two years in August, mainly driven by higher food inflation.

The core inflation rate — the central bank's favoured price measure - rose to 1.1% in August on a year-on-year basis, compared with 1% in the prior month, the Monetary Authority of Singapore (MAS) said in a statement.

A Reuters poll of economists had forecast an increase of 1%.

Singapore's headline inflation rose 2.4%, in line with economists' forecast.

(Reporting by Chen Lin; Editing by Martin Petty)