Timing is everything for Philippines rate cut

The central bank, led by Benjamin Diokno, (pic) has done much of the heavy lifting to cushion the virus-hit economy, given limited fiscal support from the government. It still has policy space to ease again, but may wait to see if an economic recovery takes hold as lockdown restrictions are eased.

MANILA: Facing its deepest contraction in more than three decades, the Philippine economy could do with more interest rate support from the central bank. It’s just not clear if it will come this week.

Economists are split on whether Bangko Sentral ng Pilipinas will deliver more easing, with 12 of 22 economists in a Bloomberg survey predicting the benchmark rate will stay at 2.75%. Nine forecast a 25-basis-point cut and one is projecting a half-point reduction.