BSP expected to continue monetary easing

MANILA, Philippinnes — The Bangko Sentral ng Pilipinas (BSP) is expected to continue its monetary easing, driven by low inflation and slow economic growth, according to British multinational research firm BMI.

The central bank recently surprised the market by cutting its policy rate by 25 basis points (bps) during its October meeting, citing a weakened domestic growth outlook.

BMI expects the BSP to cut by another 25 bps to 4.50 percent by the end of 2025, and another 50 bps next year to 4.00 percent by the end of 2026.