Philippine central bank keeps inflation forecasts for 2017-2019

MANILA: The Philippine central bank on Thursday maintained its inflation forecasts for this year through 2019, saying consumer prices have been largely stable in spite of strong credit growth.

The central bank expects inflation this year to average 3.2 percent and hover at 3.4 percent next year. The forecast for 2019 is also at 3.2 percent.

"We have seen that inflation has been very stable despite high credit growth of 20-21 percent in the last few months," Bangko Sentral ng Pilipinas Deputy Governor Diwa Guinigundo told a news conference.

The central bank, which has a 2-4 percent inflation target for 2017 through 2019, left its benchmark interest rate unchanged at 3.0 percent on Thursday, as expected.