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2 years, 8 months ago

Is the Singapore dollar linked to the US dollar?

How is dollar devaluation impacting the Singapore dollar and Singapore exports?
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chriswingate | 2 years, 8 months ago
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It was linked to the U.S. dollar for a short time, until the early 1970's when the Sterling Area ended.

----quote----
Initially, the Singapore dollar was pegged to the British pound sterling at a rate of S$60 = £7. This peg lasted until the demise of the Sterling Area in the early 1970s, after which the Singapore dollar was linked to the US dollar for a short period of time. As Singapore's economy grew and its trade links diversified to many other countries and regions, Singapore moved towards pegging its currency against a fixed and undisclosed trade-weighted basket of currencies from 1973 to 1985. From 1985 onwards, Singapore adopted a more market-oriented exchange regime – classified as a Monitoring Band – in which the Singapore dollar is allowed to float (within an undisclosed bandwidth of a central parity) but closely monitored by the Monetary Authority of Singapore (MAS) against a concealed basket of currencies of Singapore's major trading partners and competitors. This in theory allows the Singaporean government to have more control over imported inflation and to ensure that Singapore's exports remain competitive. All issued Singapore dollar currency in circulation is fully backed by international assets to maintain public confidence.
----/quote----

http://en.wikipedia.org/wiki/Singapore_dollar

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davepamn | 2 years, 1 month ago Report

Will the Singapore dollar become linked to the Euro?

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