BSP may raise rates further

The Bangko Sentral ng Pilipinas (BSP) may still raise interest rates further as it attempts to control inflation without aggravating the economic slowdown, according to Monetary Board member Benjamin Diokno in a report by Philstar Biz.

Diokno’s comments suggest the BSP remains vigilant against price pressures even as the economy faces headwinds. The central bank has previously raised rates to curb inflation, which has remained above target.

Further rate hikes could weigh on economic growth, but Diokno indicated that the BSP’s priority is to ensure inflation returns to the target range. The Monetary Board will assess data before making its next decision.