BSP sees March inflation at 1.7%-2.5%

The Bangko Sentral ng Pilipinas (BSP) forecasts March inflation to be between 1.7% and 2.5%.

This projection follows a cooler-than-expected inflation rate in February, which reached a five-month low.

Higher electricity rates and increased prices for fish and meat are expected to push inflation upwards.

Conversely, falling prices for rice, fruits, and vegetables, along with improved supply and a stronger peso, are anticipated to temper these inflationary pressures.

The BSP's Monetary Board will maintain a measured approach to ensure price stability conducive to balanced and sustainable economic growth and employment.

The February inflation rate cooled significantly to 2.1% from 2.9% in January, raising the possibility of a rate cut.

Bank of the Philippine Islands lead economist Emilio Neri Jr. projected March inflation to ease further to 2.0% year-on-year with no month-on-month change.