THE Bangko Sentral ng Pilipinas (BSP) expects headline inflation for July 2025 to range between 0.5 percent and 1.3 percent, with price pressures driven by higher meat and vegetable costs, increased electricity rates, elevated fuel prices and the weaker peso.
The central bank noted that unfavorable weather contributed to the uptick in food prices, while global oil market conditions and exchange rate movements added to domestic cost pressures.
These factors, however, may be partly offset by a continued decline in rice prices.
The BSP said it will maintain a data-dependent approach in assessing inflation and growth risks as it calibrates its monetary policy stance. / KOC