BSP sees inflation cooling in Aug

Inflation likely eased in August and returned to the target band of the Bangko Sentral ng Pilipinas BSP) after a quick uptick in July, amid lower prices of oil and other food commodities.

- LOUISE MAUREEN SIMEON

Based on its monthly forecast, the BSP said the headline rate could settle within the range of 3.2 and four percent.

This is significantly lower than the July headline rate of 4.4 percent, which was the highest recorded since October 2023.

If realized, this would also mark the return of the inflation print back to the two to four percent target of the BSP after a quick breach in July.

The BSP attributed the downward inflation pressures to lower prices of domestic oil, rice, fish and meat along with the appreciation of the peso against the dollar.

For oil prices in August, a total decrease of P2.70 per liter has been recorded for gasoline, P2.80 per liter for diesel and P3.70 for kerosene.