Philippines Central Bank Tempers Hawkish Tone as High Rates Bite
- Remolona backs reduction in RRR to 5% to boost liquidity
- Less hawkish stance hasn’t affected peso: central bank chief
Eli Remolona
Photographer: Lisa Marie David/BloombergThis article is for subscribers only.
A day after signaling the central bank’s readiness to pivot to monetary easing, Philippine central bank Governor Eli Remolona said he would like to see easier liquidity conditions as policy may be becoming tighter than necessary.
“We’re beginning to see a negative output gap. That means it’s possible that we’re beginning to be tighter than necessary for taming inflation,” Remolona said in an interview with Bloomberg Television’s Yvonne Man and Stephen Engle on Friday.