The Bangko Sentral ng Pilipinas (BSP) may pause its current tightening cycle in May, according to Finance Secretary Benjamin E. Diokno.
The BSP recently hiked its benchmark rate by 25 basis points to 6.25%, the highest rate in nearly 16 years, to curb inflation which has remained above the target range of 2-4%.
However, some analysts still expect the central bank to continue raising borrowing costs as inflation remains high.
The BSP has raised rates by 425 bps since May 2022. The monetary board’s next meeting is set for May 18.
