THE Bangko Sentral ng Pilipinas (BSP) expects inflation in July 2026 to settle within a range of 5.6 percent to 6.6 percent, citing higher fuel and electricity costs, rising fish prices, and the peso’s depreciation against a stronger US dollar.
The central bank said upward price pressures during the month were driven by elevated domestic petroleum pump prices, higher electricity rates, and increasing fish prices. The weaker peso also contributed to inflation risks by making imported goods more expensive.
These pressures, however, were expected to be partly offset by lower prices of key food items, including rice, meat, vegetables, and fruits.
The BSP said it would remain data-dependent in assessing the inflation outlook and economic growth, while continuing to monitor developments in the Middle East for their potential impact on prices and overall economic activity. / KOC