• The Bangko Sentral ng Pilipinas (BSP) is not in a rush to tweak its “hawkish” monetary settings as it flagged continuing consumer price risks arising from the Middle East turmoil and El Niño dry spell, alongside local transport fare and wage adjustments.
  • BSP Governor Eli Remolona Jr., when asked about a possible shift in monetary policy, told business editors on Monday night that the monetary regulator’s risk-adjusted inflation forecast of 4.2 percent for 2024 was still “above the range.”
  • He was referring to the BSP’s 2 percent to 4 percent inflation target range, which had been exceeded for the last two years through 2023, when inflation rate averaged 6 percent. This suggests that the central bank will keep its key interest rates unchanged during the next policy meeting on Feb. 15.