Philippines c. bank cuts key policy rate by 25 bps

The Bangko Sentral ng Pilipinas (BSP) announced a 25-basis-point cut in its key policy rate, according to its statement on Thursday. The Monetary Board decided to lower the BSP’s overnight reverse repurchase (RRP) rate to 5.75 per cent.

Concurrently, the interest rates on the overnight deposit and lending facilities were adjusted to 5.25 per cent and 6.25 per cent, respectively.

The BSP projects that inflation will remain within the target range over the policy horizon. The risk-adjusted inflation forecast for 2025 has been slightly revised upwards to 3.4 per cent from 3.3 per cent in the previous meeting.

Attribution: The Bangko Sentral ng Pilipinas report

Subediting: M. S. Salama