The weaker peso likely contributed to inflation rate in October 2025, the Bangko Sentral ng Pilipinas (BSP) said Thursday.
The BSP said inflation rate likely settled between 1.4 percent and 2.2 percent in October, led by higher costs for food and electricity. The mid-point of the forecast range is 1.8 percent, which is slightly higher than September’s 1.7 percent.
It noted that upward price pressures for the month likely stemmed from increased prices for rice, fish and vegetables as well as the depreciation of the peso against the dollar. The peso hit an all-time low of 59.13 against the US dollar on Tuesday.
Electricity costs also contributed to the expected rise, the BSP said.
These upward pressures, however, “could be partially offset by lower prices of oil, meat, and fruits,” the BSP said.
The inflation forecast for October follows an acceleration in the previous month. Headline inflation quickened to 1.7 percent in September from 1.5 percent in August.
The Philippine Statistics Authority (PSA) attributed the faster inflation in August to higher costs for transport and food.
The BSP said it would continue to monitor both domestic and international developments that may affect the country’s inflation and growth outlook.
The PSA is scheduled to release the official October inflation report on Nov. 5, 2025.
