Bangko Sentral ng Pilipinas

Economy slows dramatically late 2025 following a government probe into public works spending

The move follows a 25-basis-point increase at its previous meeting in April

Both economies have been hit by the steep increase in global oil prices

Spiralling fuel costs have raised concerns that pump prices could trigger hikes in other consumer goods

The BSP has warned that a prolonged oil price shock could disanchor inflation expectations

The Philippines imports nearly all its oil needs from the Middle East

The latest move officially ends a lengthy easing cycle that began in August 2024

Dire straits beckon as central bank holds unscheduled policy rate meeting amid fuel emergency

The bank says that to raise the rate will delay the recovery of the economy