Philippines Central Bank Sees February Inflation Within 2.8%-3.6%

(RTTNews) - Consumer price inflation in the Philippines is set to come in within 2.8 percent to 3.6 percent in February, the Bangko Sentral ng Pilipinas said Thursday.

Inflation had eased further in January to 2.8 percent, the lowest level in more than three years, largely driven by a slower price increase in food products.

"Continued price increases for key food items, such as rice, meat, and fish, along with increased petroleum prices and electricity rates are the primary sources of upward price pressures for February," the central bank said in a statement. Lower prices of vegetables, fruits, and sugar could contribute to downward price pressures, the bank said.

Going forward, policymakers will continue to monitor developments affecting the outlook for inflation and growth in line with its data-dependent approach to monetary policy decision-making, the BSP added.

On February 15, the BSP Monetary Board, led by Governor Eli Remolona, had left the key interest rate unchanged at 6.50 percent, citing slowing inflation. The central bank had lowered the inflation forecast for this year to 3.9 percent from 4.2 percent.