Inflation in the Philippines slowed to 6.8% in May 2026 from 7.2% in April, according to a report by Philstar Biz . The decline was attributed to easing transport and food costs, which offset ongoing energy-related pressures.
The transport index posted a slower annual increase as global oil prices moderated, while food inflation cooled due to improved domestic supply conditions for key agricultural commodities. These factors helped bring the headline figure closer to the Bangko Sentral ng Pilipinas' target range.
Despite the slowdown, risks remain elevated due to lingering effects of the Middle East conflict on energy costs and potential supply disruptions. Analysts expect the central bank to maintain a cautious stance in upcoming policy meetings as it balances price stability with economic growth.