Metro Manila (CNN Philippines, October 29) — The successive oil price hikes may cause the inflation rate to accelerate to as high as 5.3% this month, according to the Bangko Sentral ng Pilipinas (BSP).
The central bank on Friday said inflation could settle within the 4.5 to 5.3% range this October.
“Inflation will be driven largely by the upward adjustments in domestic oil prices,” BSP governor Benjamin Diokno said.
Fuel prices in the country have been rising in the past two months.
Given the price adjustments – which have been hurting not just the transportation sector but also other industries dependent on oil – several officials, including 2022 aspirants, have been pushing for the suspension of the oil excise tax.
READ: DOF urged to reconsider stand on fuel excise tax suspension
“Higher Meralco electricity rates, increased fish and fruits prices, and the peso depreciation will provide additional upside pressures. These could be partially offset by the continued decline in rice and meat prices, reflecting continued arrival of pork imports,” Diokno added.
In September, prices of goods and services rose at a slower pace, recording an inflation rate of 4.8%.
RELATED: Inflation slows to 4.8% in September
The Philippine Statistics Authority will release the latest inflation data on November 5th.
