Philippine Finance Chief: Interest Rates Have Reached Their Peak

The Philippine central bank’s key interest rate is expected to remain unchanged at the upcoming policy meeting this month, according to Finance Secretary Benjamin Diokno. Diokno, who is a member of the Bangko Sentral ng Pilipinas’ Monetary Board, stated that the policy rate has reached its peak and there is no justification for raising interest rates due to the decline in inflation. He also mentioned that the economy is likely to have grown faster in the third quarter due to increased spending. This news suggests that lower inflation does not warrant higher interest rates.