QUICK LOOK: PH gov’t keeps 2-4% inflation goal through 2028 amid stable outlook

Key points of the statement by the Bangko Sentral ng Pilipinas on Friday, Dec. 27, 2024, about the inflation targets set during the Dec. 2, 2024 meeting of the government’s Development Budget Coordination Committee (DBCC).

• Inflation target retained: The DBCC and BSP upheld the 2–4 percent inflation target for 2025–2028 to anchor inflation expectations and ensure price stability.
• Economic support: Inflation expectations remain steady, supported by easing monetary conditions, labor market improvements, and structural reforms.
• Manageable risks: The inflation outlook appears manageable despite potential domestic and external shocks, necessitating proactive monitoring.
• Policy alignment: The BSP’s monetary policy will focus on safeguarding price stability to foster sustainable growth and employment.
• Future reviews: Annual macroeconomic analyses and the 2025–2026 monetary policy review will guide inflation target assessments.