Manila plans ‘measured’ rate cuts as risks linger


Easing cycle: People lounge around against the backdrop of a sunset at Manila Bay. The inflation outlook and well-anchored expectations continue to support the BSP’ shift towards less restrictive monetary policy. — AFP

MANILA: The Philippine central bank pledges to maintain a “measured approach to monetary policy easing” as upside risks to inflation remain even after meeting the annual target for the first time in three years in 2024.

“The within-target inflation outlook and well-anchored inflation expectations continue to support the Bangko Sentral ng Pilipinas’ (BSP) shift towards less restrictive monetary policy,” the central bank said in a statement yesterday after the statistics agency reported that price gains averaged 3.2% in 2024.

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