SINGAPORE: 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.