THE Bangko Sentral ng Pilipinas (BSP) expects inflation in June 2026 to settle within the six to seven percent range, signaling that price pressures may continue to ease after slowing in May.
Headline inflation in the Philippines eased to 6.8 percent in May from a three-year high of 7.2 percent in April, reflecting the impact of moderating price increases in some key commodities.
The BSP said declining domestic oil prices, along with lower prices of major food items such as rice and meat, are expected to help temper inflation during the month. However, these gains could be partly offset by higher electricity rates and increased vegetable prices.
The central bank said it will remain vigilant and continue to assess incoming economic data, particularly inflation and growth indicators, in determining its policy stance.
The BSP also said it is closely monitoring developments in the Middle East, noting that geopolitical tensions could have implications for inflation and overall economic activity. / KOC