{"id":16124,"date":"2014-06-20T16:12:20","date_gmt":"2014-06-20T08:12:20","guid":{"rendered":"https:\/\/canadianinquirer.net\/v1\/?p=16124"},"modified":"2014-08-10T17:29:28","modified_gmt":"2014-08-10T09:29:28","slug":"bsp-keeps-policy-rates-steady-hikes-interest-rate-on-special-deposit-account","status":"publish","type":"post","link":"https:\/\/canadianinquirer.net\/v1\/2014\/06\/20\/bsp-keeps-policy-rates-steady-hikes-interest-rate-on-special-deposit-account\/","title":{"rendered":"BSP keeps policy rates steady, hikes special deposit account rate"},"content":{"rendered":"<figure id=\"attachment_10675\" aria-describedby=\"caption-attachment-10675\" style=\"width: 300px\" class=\"wp-caption alignnone\"><a href=\"https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas.jpeg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-10675\" src=\"https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas-300x225.jpeg\" alt=\"Bangko Sentral ng Pilipinas (Central Bank of the Philippines). Wikipedia photo\" width=\"300\" height=\"225\" srcset=\"https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas-300x225.jpeg 300w, https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas.jpeg 468w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><figcaption id=\"caption-attachment-10675\" class=\"wp-caption-text\">Bangko Sentral ng Pilipinas (Central Bank of the Philippines). Wikipedia photo<\/figcaption><\/figure>\n<p>MANILA &#8212; The country&#8217;s monetary authorities said it will increase the interest rate on the special deposit account (SDA) to clean up excess liquidity but pledged\u00a0to keep policy rates steady.<\/p>\n<p>Last adjusted April last year, the SDA rates were hiked this year by 25 basis points to 2.25 percent across all tenors.<\/p>\n<p>\u201cThis is meant to counter risks to price and financial stability that could emanate from ample liquidity, noting that a modest upward adjustment in interest rates would be prudent amid robust credit growth,\u201d\u00a0Bangko Sentral ng Pilipinas Governor Amando M. Tetangco Jr. said in a briefing.<\/p>\n<p>BSP&#8217;s records showed that M3, the broadest measure of liquidity, increased by 32.1 percent in April.\u00a0This figure is slower than the 34.7 percent recorded in the previous month.<\/p>\n<p>\u201cThe Monetary Board believes that solid domestic growth prospects allow some scope for a measured adjustment in the SDA rate to ensure that monetary and credit conditions continue to be appropriate,\u201d he added.<\/p>\n<p>Meanwhile, the policy rates were kept steady by monetary authorities.<\/p>\n<p>\u201cThe Monetary Board\u2019s decision to maintain the policy rates at their current levels is based on its assessment that the future inflation path is likely to stay within target over the policy horizon,\u201d Tetangco said.<\/p>\n<p>The current inflation forecast of BSP is now at 4.4 percent from an earlier projection of 4.3 percent, while the rate is seen to average 3.7 percent from an earlier 3.4 percent forecast next year.<\/p>\n<p>\u201cAlthough the latest baseline inflation forecasts have risen due to the higher inflation outturn in May and the inclusion of the potential impact of El Ni\u00f1o phenomenon on food and utility prices, inflation is projected to settle within the upper half of the target ranges of (three to five percent) for 2014 and (two to four percent) for 2015,\u201d he said.<\/p>\n<p>Tetangco added\u00a0that several factors including the changing weather conditions will likely affect the inflation outlook.<\/p>\n<p>\u201cInflation expectations continue to be within the target bands for 2014 and 2015. Meanwhile, the balance of risks to the inflation outlook remains tilted toward the upside, with potential price pressures emanating from the possible uptick in food prices as a result of changing weather conditions, and pending petitions for adjustments in power rates,\u201d Tetangco said.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>MANILA &#8212; The country&#8217;s monetary authorities said it will increase the interest rate on the special deposit account (SDA) to &hellip;<\/p>\n","protected":false},"author":44,"featured_media":10675,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1482,19],"tags":[5688,5689],"class_list":["post-16124","post","type-post","status-publish","format-standard","has-post-thumbnail","category-breaking","category-business","tag-policy-rates","tag-special-deposit-account-rate","mauthors-lei-fontamillas","mauthors-philippine-canadian-inquirer"],"_links":{"self":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/16124","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/comments?post=16124"}],"version-history":[{"count":0,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/16124\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media\/10675"}],"wp:attachment":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media?parent=16124"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/categories?post=16124"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/tags?post=16124"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}