Philippines: BSP seen extending the steady stance this week – UOB

Lee Sue Ann, Economist at UOB Group, expects the Bangko Sentral ng Pilipinas (BSP) to keep the current monetary policy stance at its meeting on Thursday.

Key Quotes

“BSP Deputy Governor Francisco G. Dakila continud to play down the increasing inflation risks, saying near-term inflation pressures triggered by supply-side shocks is not a cause for concern.”

“It should not require monetary policy response unless they lead to further second round effects.”

“Hence, we expect BSP to extend its rate pause until year-end for now.”