Inflation likely breached upper 4% target in April

Headline inflation is expected to settle within the range of 3.5 to 4.3 percent in April, from a three-month high of 3.7 percent in March, possibly breaching the upper four percent target of the Bangko Sentral ng Pilipinas (BSP).

- KEISHA TA-ASAN

The upper end of the forecast would also mark the highest in five months or since the 4.9 percent print in October, snapping four straight months of inflation staying within the BSP's target range.

"Continued price increases for rice and meat along with higher gasoline prices and the peso depreciation are the primary sources of upward price pressures for the month," the BSP said in a statement.

Meanwhile, lower electricity rates, the decline in prices of fish, fruits and vegetables as well as the rollback in liquefied petroleum gas prices could offset upward price pressures.

After easing to a three-year low of 2.8 percent in January, inflation picked up to 3.4 percent in February and further to 3.7 percent in March.

The growth in the consumer price index averaged 3.3 percent in the first quarter, well within the central bank's two to four percent band.