Bangko Sentral policy will be appropriately tight
Filed under Business by Pangasinan Today on 05-08-2008
The Philippine central bank said on Tuesday its monetary policy would remain tight after annual inflation in July hit a near 17-year high of 12.2 percent, topping the monetary authority’s forecast range.
“Monetary policy will continue to be appropriately tight until we see a more benign outlook and manageable inflation expectations,” Governor Amando Tetangco said in a mobile text message to reporters.
“Inflation is expected to peak in early fourth quarter 2008 and then start moderating.”
Tetangco said headline inflation in July, the highest since December 1991, was boosted by Typhoon Frank (international codename Fengshen), which pushed up food prices in provinces outside Manila.
The central bank had forecast annual inflation in July to come in a range of 11.2 to 12 percent.
