cdn mobile

March inflation hits 3.7% on food price surge

By: Ian Cigaral - @inquirerdotnetINQUIRER.net | April 05,2024 - 10:58 AM

INQUIRER file photo

INQUIRER file photo

MANILA, Philippines — Inflation rose to 3.7 percent, up from 3.4 percent in February, mainly driven by increased prices of essential food items such as vegetables, meat, and rice, according to the Philippine Statistics Authority (PSA).

Despite this increase, inflation has remained within the Bangko Sentral ng Pilipinas’ (BSP) target range of 2 to 4 percent for four consecutive months.

The faster inflation would likely convince the BSP to stay hawkish—or keep rates higher—for much longer to avoid upsetting inflation expectations.

READ: Philippine central bank governor rules out easing rates ‘soon’

How does inflation impact local traders? 

At its meeting in February, the Monetary Board left its key rate unchanged at 6.5 percent—the highest in almost 17 years—in what the BSP called a “prudent” move amid persistent risks to the inflation outlook.

The BSP had said inflation would ease in the first quarter before overshooting the target anew in the second quarter as favorable base effects fade. Average price hike is projected to return to the target band in the third quarter to average 3.6 percent this year.

Your subscription could not be saved. Please try again.
Your subscription has been successful.

Subscribe to our daily newsletter

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

Read Next

Disclaimer: The comments uploaded on this site do not necessarily represent or reflect the views of management and owner of Cebudailynews. We reserve the right to exclude comments that we deem to be inconsistent with our editorial standards.

TAGS: inflation, inflation rate, Philippine Statistics Authority (PSA), prices, prices of goods
Your subscription could not be saved. Please try again.
Your subscription has been successful.

Subscribe to our newsletter!

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

This is an information message

We use cookies to enhance your experience. By continuing, you agree to our use of cookies. Learn more here.