Philippine Central Bank sees August inflation at 3.9-4.8pc y/y

MANILA: The Philippine central bank expects annual inflation in August to be between 3.9 percent and 4.8 percent, with lower oil prices and a strong local currency to help dampen inflation, Governor Amando Tetangco said on Wednesday.

Annual inflation was 4.6 percent in July, flat from June. Central bank officials said last week inflation was expected to peak this year at around 5 percent, unlike its earlier forecasts that the rate may top 5 percent.

Official data for August inflation is set to be released on September 6, two days before the central bank meets to review policy.

At its July policy meeting, the central bank said inflation this year could average 4.7 percent, near the top end of its 3-5 percent goal, before moderating in 2012.

Copyright Reuters, 2011