BSP cuts interest rates anew as inflation stays low

The central bank on Thursday, Sept. 27, reduced interest rates anew citing low inflation rate.

In a press briefing, Bangko Sentral ng Pilipinas (BSP) Gov. Benjamin Diokno said the 25-basis point cut in key overnight rate, the third this year, was due to easing consumer prices.

“Price pressures have eased further,” said Diokno.

Inflation, he said, was likely to stay low between 2019 and 2021.

Starting on Friday, Sept. 27, BSP’s overnight reverse repurchase facility will be reduced to to 4 percent.

August inflation was just 1.7 percent, the lowest in three years./tsb