Monetary Board to extend pause on policy rate

Transcript

00:00 The Banco Central ng Pilipinas as well as the Monetary Board are doing what they can

00:05 to ensure the country not only fully recovers from the effects of the pandemic,

00:09 but to actually flourish and meet its economic goals.

00:13 With such responsibility, the Central Bank and MB need to make very sound decisions

00:18 that may lead to either an economic boon or further bane.

00:22 Soojin Kim tells us more.

00:25 The Banco Central ng Pilipinas, or BSP, held a press briefing this afternoon.

00:30 The panel consisted of Banco Central ng Pilipinas Governor Eli Ramalona Jr.,

00:35 Senior Assistant Governor of Monetary Policy, Iluminada Sikat,

00:39 and Department of Economic Research Officer in Charge, Dennis D. Lapid.

00:43 Governor Ramalona relayed the decision of the Monetary Board to extend the pause on the policy rate,

00:48 further adding the need for non-monetary interventions.

00:51 Governor Ramalona revealed that the board is considering an interest rate hike in November.

00:56 The Banco Central ng Pilipinas reassures the public of its commitment

01:00 to steer the country's monetary policy to its target path.

01:03 Forecasts for 2023 and 2024 shows an increase of 0.3 and 0.2 percentage points, respectively.

01:10 The forecast for year 2025 remains broadly unchanged.

01:14 The upward revision of the baseline forecast is attributed to factors such as

01:18 the higher-than-expected inflation this August, the depreciation of the peso,

01:22 and oil price hikes, among others.

01:24 The primary responsibility of the Banco Central is to formulate and implement policy

01:29 in the areas of money, banking, and credit to maintain stable prices

01:33 conducive to a sustainable economic growth and employment in the Philippines.

01:38 Soojin Kim, for The Nation.