Economics
Philippines Holds Rates as Recovery Concerns Trump Inflation
- Monetary authority raises inflation forecasts for 2021, 2022
- Bank prepared to take ‘immediate’ measures if needed: Diokno
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The Philippines’ central bank held its key interest rate at a record low for a third straight meeting, voicing increasing concern about rising prices but saying they’re not yet a reason to tighten policy.
Bangko Sentral ng Pilipinas left the benchmark rate at 2% Thursday, as predicted by all 23 analysts in a Bloomberg survey. With inflation expected to breach the upper limit of the central bank’s 2%-4% target this year, the bank said it’s vigilant for any evidence that supply bottlenecks are sparking wider price pressures.