The Bangko Sentral ng Pilipinas (BSP) has forecast March 2025 inflation to range between 1.7 percent and 2.5 percent, signaling a balanced outlook despite pressures from certain key commodities. The BSP attributes upward price pressures for the month to rising electricity rates and increases in the costs of fish and meat. However, these pressures are expected to be counterbalanced by falling prices for rice, fruits, and vegetables, supported by favorable domestic supply conditions and a stronger peso.
This projection comes on the heels of February’s inflation data, which slowed to 2.1 percent, a sharp decline from 2.9 percent in January. The latest forecast indicates that while some sectors will experience price hikes, the broader economy will likely maintain stability as other factors, like improved food supply and currency appreciation, help ease inflationary pressures.
The BSP’s continued emphasis on maintaining price stability underscores its commitment to fostering a balanced and sustainable economic environment. In light of this, the Monetary Board will persist in a cautious yet proactive approach to monetary policy, ensuring that inflation remains manageable while supporting steady growth and employment opportunities across the economy. The BSP’s careful monitoring of economic indicators is key to sustaining this positive trajectory, with inflation expectations moving closer to the target range for the year.
