Economics
Philippines Central Bank Sees Limited Spillover From Inflation
- Forward-looking information suggests inflation to slow down
- Bangko Sentral says it looks past supply-driven gains in CPI
Faster inflation is entrenching the nation’s real interest rate in negative territory.
Photographer: Veejay Villafranca/BloombergThis article is for subscribers only.
The Philippine central bank said it sees limited spillover from faster consumer-price gains that have been driven largely by food and oil costs, hinting that monetary policy will remain loose for months.
Inflation, which hit its fastest pace since December 2018 last month, will remain within the 2%-4% target range this year and next, the central bank said in an e-mailed reply to questions. “All forward-looking information on the inflation environment continues to suggest an eventual deceleration,” it said Wednesday.