Economics
Philippines Surprises With Half-Point Rate Cut Amid Crisis
- Only one analyst in Bloomberg survey predicted a 50bps move
- Central bank has taken aggressive action to spur growth
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The Philippine central bank cut its benchmark interest rate by a bigger-than-expected 50 basis points to support an economy facing its worst crisis in decades.
Bangko Sentral ng Pilipinas lowered its key rate to 2.25% from 2.75% on Thursday. Only one of the 22 economists in a Bloomberg survey predicted the move, with 12 forecasting no change and the rest expecting a 25 basis-point easing.