The Big Mac index: Singapore

Macro

2026-09-01

Description

The big mac index was invented by The Economist in 1986 as a lighthearted guide to whether currencies are at their “correct” level. It is based on the theory of purchasing-power parity (PPP), the notion that in the long run exchange rates should move towards the rate that would equalise the prices of an identical basket of goods and services (in this case, a burger) in any two countries.

Published by
The Economist
Frequency
Aperiodically
Next Update
Hashtags
Big Mac index PPP

AI Data Insight

In Q1 2026, Singapore's Big Mac Index surged to $5.7834, representing a significant increase of approximately 6.9% from the previous figure of $5.409 in Q3 2025 and hitting a record high. The underlying data reflects the impact of the Monetary Authority of Singapore (MAS) maintaining a strong exchange rate policy to combat inflation, alongside the pass-through pressure from soaring labor and rental costs in the local food and beverage industry. Looking ahead, analysts expect the SGD exchange rate to continue its upward trend, though attention must be paid to the potential impact of high prices on domestic consumption momentum.

You May Also Like

AI Data Insight

In Q1 2026, Singapore's Big Mac Index surged to $5.7834, representing a significant increase of approximately 6.9% from the previous figure of $5.409 in Q3 2025 and hitting a record high. The underlying data reflects the impact of the Monetary Authority of Singapore (MAS) maintaining a strong exchange rate policy to combat inflation, alongside the pass-through pressure from soaring labor and rental costs in the local food and beverage industry. Looking ahead, analysts expect the SGD exchange rate to continue its upward trend, though attention must be paid to the potential impact of high prices on domestic consumption momentum.

You May Also Like

Other Industry

Semiconductor
Display
LED
Energy
Electronics
Telecom
Emerging Tech
Macro
Description

The big mac index was invented by The Economist in 1986 as a lighthearted guide to whether currencies are at their “correct” level. It is based on the theory of purchasing-power parity (PPP), the notion that in the long run exchange rates should move towards the rate that would equalise the prices of an identical basket of goods and services (in this case, a burger) in any two countries.

Published by
The Economist
Frequency
Aperiodically
Next Update
Hashtags
Big Mac index PPP