Inflation seen to have risen 4.6% in March due to lean rice supply

MANILA, Philippines — Consumer prices may have risen by as much as 4.6 percent in March as a result of the lean supply of rice, the central bank said Thursday.

In a statement, Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco Jr. said the inflation would likely settle within 3.7 and 4.6 percent in March. This compares to the 4.1-percent inflation rate in February.

“Upward price pressures could come mainly from rice prices due in part to the ongoing lean season,” the central bank chief said. “However, lower electricity rates and petroleum prices could offset some of the upside pressures,” he said.

The BSP, whose mandate is to stabilize consumer prices in the country by influencing the amount of money circulating within the economy, sees inflation averaging at 4.2 percent in 2014, faster than 3 percent the year before.

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