Category: Phillipines

With US tariffs now agreed, however imbalanced the final outcome, a note of stability and predictability returns. Yes, it may well take several months for the full impact to become clear, but at present the headline figures are either stable or improving. We anticipate GDP growth that meets or exceeds 2024’s statistics, and at least…

US-Philippines trade talks have concluded – but the result feels not just unbalanced, but geopolitically self-defeating. The BSP next meets on 28 August, and with inflation still falling, another rate cut looks likely. Monetary Policy, Inflation & Interest RatesAs we expected, the Bangko Sentral ng Pilipinas (BSP) cut its policy rate to 5.25% in June.……

US-Philippines trade negotiations continue, with the possibility of a deadline extension beyond 8th July now aired by both Trump and Bessent. The BSP cut interest rates again in June, having already made a 25bp cut in April. Inflation remains within the target range. Monetary Policy, Inflation & Interest Rates As mentioned in a prior report,…

Philippines Macro Brief: May 2025 US-Philippines trade negotiations are ongoing in Washington as we type, with the expectation tariffs will eventually fall into the 10-15% range. Meanwhile, the Bangko Sentral ng Pilipinas’ (BSP) Circular No. 1212 has introduced a sweeping range of changes set to affect FX derivatives, FX speculation, the quantification of FX exposure,…

A stable currency, low inflation, low unemployment and an increasingly business-friendly environment bode well for the Philippines. That said, President Trump’s tariffs do pose a potential challenge to the government’s ambitions to attract foreign investment, particularly given that 32% of FDI into ASEAN in 2023 came from the USA. Monetary Policy, Inflation & Interest Rates…