25.3 C
Thursday, January 30, 2020
Home News Latest Stories Taal Volcano eruption to stoke inflation rate

Taal Volcano eruption to stoke inflation rate


THE eruption of Taal Volcano could stoke inflation rate to as high as 3 percent at the start of the year, a Philippine National Bank (PNB) economist said.

In a report released on Wednesday, PNB chief economist Jun Trinidad highlighted the local bank was sensing a macro downside risk from the effects of the natural disaster and would take its toll on inflation rather than on domestic demand that could undermine growth prospects.

“While income and food price shocks arising from ND (natural disaster) events do not last given import channels and return to normal business/production in the affected regions, the recent ND effects bolster a 2020 inflation trajectory that’s likely to break out of the 2-2.5 percent range and perch at 3 percent year-on-year if not more, to kick start 2020,” he said.

Trinidad’s projection compares to the 2.5 percent average inflation rate in 2019.

He mentioned Taal eruption may put pressure on food prices of livestock, particularly chicken and hogs, as well as fish supply since Region 4 or Calabarzon is a significant contributor to local production of livestock.

Court sets Enrile plunder trial in Feb

FORMER senator Juan Ponce Enrile signed with reservation a pre-trial order that would pave the way for his trial for plunder and graft in...

Duterte bars Cabinet from going to US

President Rodrigo Duterte on Wednesday barred members of his Cabinet from travelling to the United States (US), as he reiterated his order to terminate...

Duque on fighting nCoV: Stay healthy

HEALTH Secretary Francisco Duque 3rd expressed confidence that the 2019 novel coronavirus (nCoV) can be beaten if an individual is healthy enough. Speaking during the...

China women’s football team quarantined in Australia over virus

BRISBANE, Australia: China's women's football team has been quarantined in a Brisbane hotel over fears about the deadly coronavirus after arriving for an Olympic qualifying...

China shuts down: The measures taken to curb a virus

BEIJING: China has enacted extraordinary measures to contain the spread of a new coronavirus that has killed more than 130 people, infected thousands and...

Today’s Front Page January 30, 2020

Today’s Front Page January 30, 2020