Inflation & Prices

Philippine Central Bank Says Price Risks Lurk as Rice Spikes

  • Rice price gains hit a fresh 15-year high in January
  • Central bank keeps hawkish stance even as inflation eases
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Philippine inflation cooled to a three-year low in January but the central bank is sticking to a hawkish stance, expecting price gains to flare up above target again from next quarter due to El Nino.

Rice prices quickened for a third straight month to 22.6% from a year earlier, a fresh 15-year high, the statistics agency said on Tuesday. Overall inflation eased to 2.8% in January, the slowest pace since October 2020 and compares with a median forecast of 3.1% in a Bloomberg survey.