3.8% Philippine inflation in February falls back within target

The growth of the country’s supply chain and oil prices have slowed down.

The Philippine’s’ consumer price inflation of 3.8% during February has finally fallen within its central bank’s policy target range of 2-4%, after seeing inflation exceed this target for 11 months, according to a report by ING Economics.

This was supported by rice price increase slowing down to 2.9% from 2018. Supply chains and oils prices had also become more stabilised.

“With inflation back within the target range, this leaves the door wide open for newly appointed Governor Ben Diokno to think about easing off the brakes and looking to help support the growth side of the equation,” Nicholas Mapa, senior economist at ING Economics in the Philippines.

The country’s inflation rate had hit an all-time high of 6.7% in September-October 2018.

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