Metrobank Research predicts the Philippines will see increased growth in 2025, fueled by further policy rate reductions by the Bangko Sentral ng Pilipinas (BSP). The research unit expects a 6.2% GDP growth in both 2025 and 2026, driven by increased consumption and investment spending. This forecast aligns with the government's target range of 6.0-8.0% for 2025-2028 and indicates an improvement from the anticipated below-target result for 2024.
THE Philippines stands poised for higher growth in 2025 amid further policy rate cuts by the Bangko Sentral ng Pilipinas , the research unit of Metropolitan Bank & Trust Co. said.'The Philippines continues to be one of Asean leading economies in terms of growth in 2024, performing above the global average despite significant headwinds,' Metrobank Research said in a 2025 outlook.It expects gross domestic product to grow by 6.
Higher inflation could prompt a pause, however, but slow economic growth will again warrant a cut, it added.BSP Governor Eli Remolona Jr. has noted upside risks to inflation and indicated that monetary authorities could slow down the pace of easing this year.Analysts earlier forecast cuts totaling 100 basis points in 2025, but Remolona last month said that this could be too much.The BSP, Metrobank Research said in its outlook, could implement three 25-bp rate cuts this year.
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