The Philippines is likely to implement a series of "modest rate hikes" to curb inflation driven by rising global oil prices, Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona told Bloomberg Television on Friday.
He said policymakers are acting proactively to stay ahead of inflation pressures, a day after the central bank raised its policy rate for the first time in over two years.
Remolona added that the recent decision involved close deliberation, with officials also considering a larger 50-basis-point increase before opting for a smaller move. He added that the central bank is closely monitoring inflation expectations and currency movements, rather than focusing on specific peso threshold, according to the report.
Despite tightening, the BSP still expects economic growth of about 4.6% this year, potentially rising to 6% in 2027, with remittances remaining resilient, the news outlet said.
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