Philippines Interest Rate

Last Release

Aug 15, 2024

Actual

6.25

Units In

6.5

Frequency

Daily

Next Release

Oct 17, 2024

Time to Release

2 Months 0 Days 9 Hours

Highest	Lowest	Average	Date Range	Source
31 Jan 1985	2 Nov 2020	7.34 %	1985-2024	N/A

In Philippines, interest rate decisions are taken by The Monetary Board of The Bangko Sentral ng Pilipinas (BSP). The official interest rate is the reverse repo rate (RR/P) which is the overnight borrowing rate. The central bank of the Republic of the Philippines is committed to promote and maintain price stability and provide proactive leadership in bringing about a strong financial system conducive to a balanced and sustainable growth of the economy.

Latest Updates

The Central Bank of the Philippines unexpectedly cut its benchmark interest rate by 25 bps to 6.25% during its August 2024 policy meeting, defying market expectations of holding the rate steady for the seventh consecutive period. This decision followed recent data showing that the country's economy expanded by 6.3% year-on-year in the second quarter of 2024, the fastest growth since the first quarter of 2023. Additionally, the annual inflation rate climbed to 4.4% in July 2024, the highest reading since October 2023 and compared to a three-month low of 3.7% in the previous month. Nonetheless, Governor Remolona emphasized that the inflation outlook was skewed to the downside for 2024 and 2025, prompting the rate cut. The BSP revised its inflation forecasts for 2024 and 2025 to 3.3% and 2.9%, respectively, from earlier forecasts of 3.1% for both years. The central bank also adjusted the interest rates on the overnight deposit and lending facilities to 5.75% and 6.75%, respectively.