The Bangko Sentral ng Pilipinas' overnight reverse repurchase, deposit and lending rates remain at 6.25 percent, 5.75 percent and 6.75 percent, respectively.'The BSP's latest baseline projections continue to suggest a gradual return of inflation to the target band of 2.0 to 4.0 percent over the policy horizon,' central bank Governor Felipe Medalla told reporters.Governor Felipe Medalla.
'However, the balance of risks to the inflation outlook continues to lean toward the upside due to the potential impact of additional transport fare increases and minimum wage adjustments, persistent supply constraints of key food items, El Niño weather conditions and possible knock-on effects of higher toll rates on agricultural prices,' it added.'Meanwhile, the impact of a weaker-than-expected global economic recovery remains the primary downside risk to the outlook.