Inflation in the Philippines likely increased in March, driven mainly by rising global energy prices linked to tensions in the Middle East, according to Moody’s Analytics.
Its economists estimate Philippine inflation to have risen to 3.1 percent year-on-year, up from 2.4 percent in February. The increase reflects higher fuel costs, which are starting to feed into transport and basic goods prices.
The Philippines, the Moody’s unit notes, shares a broader regional trend of energy-driven inflation. In Thailand, prices are also expected to rise after the government lifted fuel price caps, causing sharp increases in diesel and gasoline. This highlights how vulnerable economies are to global oil price swings.
Despite the uptick, inflation in the Philippines remains manageable for now. However, the faster pace may put pressure on monetary authorities to stay cautious, especially if fuel costs continue to climb.
Across Asia, inflation trends are mixed. Some economies like China and Taiwan are expected to see slower price growth due to easing temporary factors, while others face renewed pressure from energy costs.
Central banks in the region, including those in South Korea and New Zealand, are expected to hold interest rates steady as they balance rising inflation risks with concerns about slowing economic growth.
For the Philippines, the key issue remains clear: higher oil prices are pushing inflation up, and future price movements will largely depend on how long global energy pressures persist.
