BSP governor: Supply shocks could keep inflation from returning to target range

January 22, 2024 - 9:27 AM
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Bangko Sentral ng Pilipinas headquarters in Manila. The central bank’s first quarter Consumer Expectations Survey (CES) for 2018 showed an index of 1.7 percent, down from the previous quarter’s 9.5 percent and year-ago’s 8.7 percent. (Reuters file photo)

 Philippine central bank Governor Eli Remolona said on Saturday that supply shocks could derail the bank’s forecast that inflation will decelerate back to its target range.

The Southeast Asian economy is “not out of the woods yet” as supply shocks could trigger second-round effects and heighten inflation expectations, the Bangko Sentral ng Pilipinas chief told a press conference.

— Reporting by Mikhail Flores