Economists are expecting more rate hikes after the Bangko Sentral ng Pilipinas (BSP) started its interest rate liftoff on Thursday as inflation is seen averaging at a high of 5.4 percent this year and 6.9 percent next year if the price of Dubai crude hits $200 per barrel.
Economists believe the Bangko Sentral ng Pilipinas could deliver aggressive rate hikes amid quickening inflation, as well as the continued interest rate liftoff by the US Federal Reserve.
Inflation likely accelerated in March and breached the upper end of the two to four percent target set by the Bangko Sentral ng Pilipinas, according to economists.