BSP forecasts September inflation to sizzle on higher rice, fish prices

Manila, Philippines – Inflation, or the rate at which consumer prices rise, likely sizzled to as much as over 2 percent in September, its fastest pace so far this year, according to central bank forecasts.

The Bangko Sentral ng Pilipinas (BSP) published its September inflation forecast on Wednesday, saying the combined effects of higher food and fuel costs probably drove inflation within 1.5 percent and 2.3 percent.

The higher end of that projection, if realized, would be the worst inflation reading so far this year.

“Upward price pressures for the month are likely to arise from higher prices of rice and fish,” the BSP said.

“Elevated domestic fuel costs likewise contribute to upside price pressures for the month,” it added.

But those factors were likely dulled by cheaper costs of vegetables and meat, plus the cut in power tariff rates, the BSP said.

The August inflation reading was 1.5 percent, bringing the year-to-date average to 1.7 percent, still within the central bank’s target for 2025.

NewsWatch Plus business news anchor Lois Calderon contributed to this story.