MANILA (Reuters) – The Philippines’ central bank considers it “dangerous” to cut interest rates faster than a policy easing by the U.S. Federal Reserve, its governor said on Wednesday.
While Philippine inflation will decelerate to below 4% late this year, the Bangko Sentral ng Pilipinas (BSP) aims to keep its interest rate differential with the U.S., Governor Felipe Medalla told reporters on the sidelines of a central bank event, ahead of the BSP’s rate setting meeting on May 18.
(Reporting by Neil Jerome Morales)