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Manila Bulletin devider Business devider The Economy devider BSP projects much cooler inflation for May 2025

BSP projects much cooler inflation for May 2025

Published May 30, 2025 07:45 pm

Filipino consumers can anticipate a substantial easing of inflation in May this year, according to the latest forecast from the Bangko Sentral ng Pilipinas (BSP). 

The central bank projects inflation to settle within the range of 0.9 percent to 1.7 percent in May, a significant deceleration compared to the 3.9 percent inflation rate recorded in the same month last year. 

It also indicated a potential further cooling of prices from the 1.4 percent inflation observed in April 2025, which was already the lowest since November 2019.

The BSP attributed this expected downward trend primarily to easing prices of essential food items like rice and fish, which are benefiting from favorable domestic supply conditions.

Additionally, lower oil prices, reduced electricity rates, and the appreciation of the Philippine peso are contributing to the anticipated slower inflation.

However, the central bank cautioned that these downward pressures could be partially offset by higher prices of vegetables and meat products.

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Bangko Sentral ng Pilipinas (BSP) inflation rate
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