Philippine headline inflation hit 2.6 percent in December, showing the fastest acceleration in two years, although the full-year average at 1.8 percent remained below the government’s target for 2016.
The headline rate in December was only marginally higher than November’s 2.5 percent, but posted a big jump from 1.5 percent recorded in December 2015.
It was the fastest rate since December 2014, when inflation hit 2.7 percent.
The rise in consumer prices in December supported the forecast by the Bangko Sentral ng Pilipinas’ (BSP) for an average of 1.8 percent for 2016, but faster than the 1.4 percent average recorded in 2015.
It also hit the lower end of the 2.6 percent to 2.8 percent range seen by private analysts polled earlier by The Manila Times.
Core inflation averaged 1.9 percent in 2016.
Excluding food and energy prices, core inflation picked up to 2.5 percent from 2.4 percent in November and from 2.1 percent posted a year earlier.