The Bangko Sentral ng Pilipinas still has room to continue raising key policy rates, following last week’s off-cycle rate hike, the ASEAN+3 Macroeconomic Research Office said.
CONTINUED ECONOMIC RECOVERY. The continued recovery of the domestic economy is a reason for the Bangko Sentral ng Pilipinas (BSP) not to increase its key policy rates to address the accelerating inflation rate. The Asean+3 Macroeconomic Research Office (AMRO) forecasts domestic inflation to average at 4.4 percent this year, higher than the government's 2-4 percent target band. (PNA file photo) MANILA - The Bangko Sentral ng Pilipinas (BSP) is expected to raise its key rates to about 4 percent in line with ongoing normalization of monetary policy around the world due in part to accelerating inflation rate. The Asean+3 Macroeconomic Research Office (AMRO) forecasts domestic inflation to average at 4.4 percent this year, exceeding the government's 2-4 percent target band, and at 3.8 percent next year. In a virtual briefing on Wednesday, AMRO chief economist Dr. Hoe Ee Khor said the ongoing Russia-Ukraine conflict negatively impacts not just the Philippine economy's expansion,
Vietnam is expected to come out second only to the Philippines in terms of projected GDP for 2022 and on top for 2023, according to a recent Quarterly Update of the ASEAN +3 Regional Economic Outlook.
The ASEAN+3 Macroeconomic Research Office (AMRO) has revised higher its growth forecast for the Philippines this year to 6.9 percent from 6.5 percent two months ago due to rising domestic demand and strong fiscal support. “We’re very optimistic on the Philippines,” said AMRO Chief Economist, Hoe Ee