The Bangko Sentral ng Pilipinas (BSP) projects that headline inflation for May 2025 will settle within the range of 0.9 to 1.7 percent, reflecting continued easing in overall price pressures.
The projected slowdown in inflation is primarily attributed to favorable domestic supply conditions, leading to lower prices of rice and fish. Additionally, declining global oil prices, reduced electricity rates, and the appreciation of the Philippine peso have further contributed to downward pressures on consumer prices.
However, the BSP noted that increases in the prices of vegetables and meat items may partially offset the downward trend.
Looking ahead, the BSP reiterated its commitment to maintaining price stability in support of balanced and sustainable economic growth. “The Monetary Board will continue to take a measured approach in adjusting the monetary policy stance, guided by our assessment of evolving price dynamics and their implications for the broader economy,” the central bank stated.
The BSP remains vigilant and ready to respond to emerging risks to the inflation outlook, ensuring that monetary policy actions remain consistent with its mandate to foster a stable financial environment conducive to employment generation and long-term development.
