Higher inflation, possible rate cuts projected in 2020

THE country’s headline inflation could continue to pick up this year after averaging 2.5 percent in 2019, but monetary authorities still have room to ease policy rates as early as February, analysts said on Tuesday.

ING Bank Manila senior economist Nicholas Antonio Mapa expects inflation to accelerate in 2020 because of “reverse” base effects amid the implementation of the third tranche of the fuel excise tax at the start of the year.