The Philippines: BSP keeps rate at record low

• The Philippine central bank left key interest rates steady as it continued to support an economy grappling with the fallout of recent COVID-19 curbs, even as it increased its inflation forecasts for 2021-2023.
• The (BSP) kept the rate on the overnight reverse repurchase facility at 2.0%
• The rates on the overnight deposit and lending facilities were kept at 1.5% and 2.5%, respectively.
• “The outlook for recovery continues to hinge on timely measures to prevent deeper negative effects on the Philippine economy,” BSP Governor Benjamin Diokno said in a media briefing.
• He said current policy settings remained appropriate, with inflation pressures still manageable and the growth outlook uncertain.
• “Together with appropriate fiscal and health interventions, keeping a steady hand on the BSP’s policy levers will allow the momentum of economic recovery to gain more traction by helping boost domestic demand and market confidence,” Diokno said.

External Link : https://www.reuters.com/article/philippines-economy-rates-idUSL1N2QP0EW/