November notches steady inflation rate

Inflation in November is likely to settle within the range of 1.1 to 1.9 percent, the Bangko Sentral ng Pilipinas (BSP) reported on Friday. 

This would be lower than the target range of 2 to 4 percent set by economic managers. 

From January to October, the inflation rate averaged 1.7 percent, remaining flat below this range, as food prices largely became stable.

The government pointed out that rice prices continued to go down following the reduction of import tariffs on the commodity. However, ordinary Filipinos who buy rice in the various city and municipal markets do not agree.

Inflation in October was also steady at 1.7 percent. 

“Upward price pressures for the month reflect in part the impact of inclement weather as prices of rice, fish, and fruits increased. Higher electricity and oil prices, as well as the depreciation of the peso could also contribute to price pressures,” the BSP said.

Lower prices of meat and vegetables, however, may keep the inflation rate down. 

This steady inflation rate has allowed the BSP to cut interest rates several times this year. Another rate cut is expected in December, after economic growth slowed down in the third quarter.