Inflation seen to have surged in May

Inflation likely accelerated further in May as oil and rice prices kept rising, the Bangko Sentral ng Pilipinas (BSP) said on Thursday, May 31.
Prices of basic goods and services may have surged by 4.6-5.4% last May, which meant a steady ascent for the fifth straight month.
The forecast range meant that inflation is higher than April’s 4.5% — already the highest rate seen in at least five years – and from the 2.9% clocked in May last year using 2012 prices.
“Higher domestic petroleum prices amid geopolitical tensions in the Middle East as well as the sustained increase in rice prices present upward price pressures for the month,” the central bank said in a statement on Thursday.
“These could be partly offset by lower electricity rates in Meralco-serviced areas along with lower prices of selected fruits and fish items as supply conditions normalized for the month. Going forward, the BSP will remain watchful of evolving price trends and ensure that the monetary policy stance remains appropriate to maintain price stability that is conducive to a balanced and sustainable economic growth.” — Melissa Luz T. Lopez