Inflation may continue to ease in September, dropping to 2.5% from August’s 3.3%, according to Finance Secretary Ralph Recto.
Speaking at a press briefing on Tuesday, Sept. 24, Recto highlighted that the projected figure would be the lowest inflation rate of the year, well within the government’s target range of 2% to 4%. The official inflation rate for September will be released in Oct. 4.
“The good news is that inflation is on a downward trend,” Recto said, noting that the forecast is lower than the global inflation rate of 5.9%.
However, Recto acknowledged that inflation could rise slightly during the holiday season due to increased consumer spending, though he expects it to remain within the Bangko Sentral ng Pilipinas (BSP) target.
For the full year, Recto predicted overall inflation at 3.4%, nearly half of last year’s rate. He added that lower inflation would boost GDP growth, create more jobs, and reduce borrowing costs.
