Inflation down in March

BSP Governor Amando M. Tetangco Jr. INQUIRER FILE PHOTO

MANILA, Philippines – The rise in consumer prices decelerated for the second consecutive month due to the slower-than-usual increase in fuel, power, and commodity prices, government data released Friday showed.

Inflation for March eased to 3.9 percent from 4.1 percent in February. This brought the three-month average to 4.1 percent, the Philippine Statistics Authority reported.

Inflation peaked this year at 4.2 percent in January.

The figure for March was below the midpoint of the central bank’s projected range of 3.7 to 4.6 percent for the month. Bangko Sentral ng Pilipinas Governor Amando M. Tetangco Jr. said inflation remained manageable for now.

“This is consistent with our assessment and supports our manageable inflation outlook,” Tetangco said in a statement. “That said, we will continue to be watchful of global developments — shifts in the Fed stance, geopolitical risks, growth prospects and financial market developments in China.”

Last month, the BSP raised the required amount of deposits banks had to set aside as reserves to 19 percent for universal and commercial lenders as part of efforts to keep liquidity and price pressures in check. The BSP’s move also signalled that authorities would continue to tighten monetary settings, as needed.