Recto: One more BSP rate cut possible this year – BusinessWorld Online
THE BANGKO SENTRAL NG PILIPINAS (BSP) may deliver one more rate cut before yearend, depending on economic data, Finance Secretary Ralph G. Recto said on Tuesday.
“So far, I think we can probably ease one more time. Hopefully,” he told reporters at the Senate. “But let’s see what the data show.”
The Monetary Board last week cut the target reverse repurchase rate by 25 basis points (bps) to 5%, the lowest since November 2022.
Since beginning its easing cycle in August 2024, the central bank has trimmed rates by 150 bps, including two 25-bp cuts each in April and June.
BSP Governor Eli M. Remolona, Jr. earlier said there might be room for one more cut this year, though he noted the cycle is nearly over.
The Monetary Board still has two meetings left, in October and December. — Katherine K. Chan