Foreign financial giants and a think tank expect the Bangko Sentral ng Pilipinas (BSP) to further reduce key borrowing costs to 4.5 percent by year-end following the central bank’s shift to more dovish tone. Netherlands-based financial giant ING has flagged risks that could slow growth from the...
Bangko Sentral ng Pilipinas (BSP) Governor Eli M. Remolona Jr. struck a more dovish tone on the central bank’s policy path, signaling that the latest quarter-point reduction to 4.75 percent may not be the final easing this year. Remolona, in a press briefing on Thursday, Oct. 9, backtracked on...
Citing a weaker growth outlook amid infrastructure spending issues stemming from the misuse of public funds, especially on “ghost” flood control projects, the Bangko Sentral ng Pilipinas (BSP) on Thursday, Oct. 9, decided to reduce the key interest rate by 25 basis points (bps) to 4.75 percent...
While private-sector economists anticipate one last monetary policy easing before 2025 comes to a close, in order to safeguard economic growth next year, they do not think the Bangko Sentral ng Pilipinas (BSP) will reduce the key borrowing costs on Thursday, Oct. 9. Singapore-based United Overseas...
Japanese financial giant MUFG Bank Ltd. expects the Bangko Sentral ng Pilipinas (BSP) to maintain the key policy rate at five percent throughout 2025 but anticipates the central bank will reduce it by another one percentage point (ppt) to four percent in 2026. Based on MUFG’s Sept. 24 report,...
Uncertainty over price movements could delay the Bangko Sentral ng Pilipinas’ (BSP) next 25-basis-point (bps) policy rate cut to December, according to American banking giant Citi. “Barring a significant growth shock, the immediate uncertainty on inflation could push the [monetary policy...
Citing steady domestic demand coupled with still-tame inflation, the Bangko Sentral ng Pilipinas (BSP) has delivered its widely expected third key policy rate cut, lowering it by a quarter of a point to five percent. “The Monetary Board (MB) observed that domestic demand has held firm,” BSP...
Ayala-led Bank of the Philippine Islands (BPI) expects the Bangko Sentral ng Pilipinas (BSP) to extend its easing cycle until the first quarter of 2026, after the widely expected two-quarter-point rate cuts by year-end, to stimulate growth as price pressures remain subdued. “We think there’s...
Housing construction, which sharply slowed in the second quarter and pulled gross domestic product (GDP) growth toward the lower end of the government’s target, will likely recover only if the Bangko Sentral ng Pilipinas (BSP) delivers a jumbo rate cut on Thursday. While the University of Asia...
In a shift from its recent cautious stance, British banking giant HSBC now believes the Bangko Sentral ng Pilipinas (BSP) has the room to quicken and deepen its monetary easing cycle, driven by continued positive developments in the inflation outlook. According to HSBC ASEAN Economist Aris...
With an already narrow output gap and the economy in a “goldilocks” or ideal state, the Bangko Sentral ng Pilipinas (BSP) said slashing key borrowing costs further by three-quarters of a point is unlikely, with two cuts more likely than one. “I think two is more likely than one. Two is still...
Despite recent interest rate cuts by the Bangko Sentral ng Pilipinas (BSP), inflation hitting nearly six-year lows in recent months, and still-muted second-quarter growth in some sectors, further reductions in key borrowing costs are seen as necessary. “We think the second-quarter GDP [gross...
