'Inflation to remain low until 2026'

Private sector economists expect inflation to remain stable over the next three years, with the rate expected to stay within the two to four percent target range of the Bangko Sentral ng Pilipinas (BSP) until 2026.

Based on the central bank's survey of external forecasters for October, mean inflation forecasts for 2024 and 2026 were unchanged at 3.4 and 3.2 percent, respectively, compared to the forecasts a month ago.

On the other hand, the projection for 2025 went down slightly to three percent from 3.1 percent in the previous September survey.

"Analysts consider the inflation risks to be broadly balanced, with headline inflation expected to remain low and within-target over the policy horizon," the BSP said.

Headline inflation went up to 2.3 percent in October from a four-year low of 1.9 percent in September. Year to date, inflation averaged 3.3 percent.

The BSP sees full-year inflation easing to 3.1 percent in 2024 from six percent last year. However, inflation could pick up to 3.3 percent in 2025 and 3.7 percent for 2026.