BSP says inflationary pressures have eased
INFLATIONARY pressures have eased after prices of goods and services accelerated during the first half, the Bangko Sentral ng Pilipinas said Friday.
As such, prices would likely slow down and meet the inflation numbers set by the BSP for this year and next, the central bank said.
“Based on our forecast of the inflation path, there could still be some upward pressure on the inflation rate but it is not as strong as we had projected it earlier,” BSP Gov. Amando Tetangco Jr. said in an interview with reporters
Inflation this year would average 3 percent and 5 percent next year, according to the central bank chief.
National Statistics Office (NSO) data showed inflation climbing to a 26-month high of 4.6 percent in June from 4.5 percent in May, prompted by higher electricity rates, tuition fees, prices of food and alcoholic beverages and tobacco.
Core inflation, which excludes food and fuel items, registered at 4.0 percent in June from 3.7 percent in May.
Inflation last month was the highest since April 2009 when average inflation was at 4.8 percent.
“So for the year as a whole, the forecast inflation rate is somewhat lower than what we had projected last month or [in] the previous meeting of the Monetary Board,” Tetangco said.
The policy-setting Monetary Board will hold its next meeting July 28.