BSP discusses inflation up to 4% in January

Anthony Andres | January 30, 2018

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Inflation rate in the present time settled in a faster pace in the month of January. The Bangko Sentral ng Pilipinas (BSP) said last Wednesday that the rate is ranging from 3.5-4.0 percent.

Many consumer prices are said to expect driven mainly by higher prices of petroleum products and with the new implementation of the tax reform program, TRAIN law.

The Department of Economic Research of the Bangko Sentral ng Pilipinas said that inflation rate in the month of January rested within the range of 3.5 - 4.0 percent due to the weather related disturbances the price of petroleum products on higher global crude oil along with food prices are expected to increase and contribute to the rising inflation rate in the month of January 2018.

The inflation rate recorded last December 2017 is 3.3 percent while January last 2017 was 2.7 percent.

After the implementation of the TRAIN law, BSP acknowledged the pressure stock in the high excise tax within the fuel, sugar and sweetened beverages. But with the increase in prices, this could partly be offset with the reduction of electricity rate by Meralco by this month of January.

Meralco said that there will be a cut of a P0.5260 kilowatt/hour in the month of January 2018.