MONETARY authorities decided to keep key interest rates unchanged on Thursday with inflation expected to remain on target this year and the next.
Consumer price growth, however, is expected to pick up before slowing down in 2019.
The Bangko Sentral ng Pilipinas’ overnight borrowing, lending and deposit rates were maintained at 3 percent, 3.5 percent and 2.5 percent, respectively, during the Monetary Board’s second policy meeting for 2018.
Using 2012 prices, the inflation forecast for 2018 was raised to 3.9 percent from 3.8 percent while the 3.1 percent estimate for 2019 was trimmed to 3 percent.
Both forecasts are within the BSP’s 2.0-4.0 percent target range. MAYVELIN U. CARABALLO