Gate News message, April 23 — The Bangko Sentral ng Pilipinas (BSP), the Philippines’ central bank, raised its policy rate to 4.5% on April 23, marking the first rate hike in two years amid escalating Middle East tensions that have driven up domestic fuel and food prices.
Inflation in the Philippines surged to 4.1% in March, nearly doubling from the previous month as oil prices climbed due to the regional conflict. BSP Governor Eli Remolona Jr. stated the central bank’s inflation outlook has “deteriorated,” with higher oil and fertilizer costs expected to spill over into food and service prices. The bank raised its 2026 inflation forecast to 6.3% and 2027 forecast to 4.3%. The government declared a national energy emergency in late March as the conflict threatened energy supply stability.
Central banks typically use policy rate adjustments to control inflation; higher rates increase borrowing costs and reduce spending. Remolona noted that policy rate effects usually take about one year to fully materialize, though larger moves may show faster impact. The bank’s Monetary Board deemed preemptive action necessary to safeguard price stability.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Money Markets Fully Price in Two ECB Rate Hikes by December, 50% Probability of Third Increase
Gate News message, April 23 — Money markets have fully priced in expectations of two European Central Bank (ECB) rate hikes by December, with a 50% probability of a third increase occurring.
GateNews31m ago
Market Increases Bets on BoE Rate Hikes, Pricing in 62 Basis Points for 2026
Gate News message, April 23 — Market participants have increased bets on Bank of England rate hikes, with traders now pricing in 62 basis points of increases for the remainder of 2026.
GateNews1h ago
Global Bond Markets Reprice on Geopolitical Tensions and Inflation Resurgence in Q1 2026
Gate News message, April 23 — Global bond markets entered 2026 expecting monetary easing, but geopolitical tensions in the Middle East and energy supply disruptions reversed that narrative during Q1, forcing investors to reassess interest rate outlooks. According to Eurex data, March marked a
GateNews1h ago
Chinese Yuan Expected to Surpass Japanese Yen in FX Options Trading, LCH Predicts
Gate News message, April 23 — According to Andrew Batchelor, head of LCH ForexClear, the Chinese yuan is expected to surpass the Japanese yen as the second most actively traded currency against the U.S. dollar in foreign exchange options markets.
Batchelor stated that when the Bank for
GateNews2h ago
TradFi Rise Alert: USDIDR (US Dollar vs Indonesian Rupiah) Rises Over 0.5%
Gate News: According to the latest Gate TradFi data, USDIDR (US Dollar vs Indonesian Rupiah) has surged by 0.5% in a short period. Current volatility is significantly higher than recent averages, indicating increased market
GateNews6h ago
Trump Says US Considering Currency Swap with UAE as Part of Support for Gulf Ally
Trump floated a US-UAE currency swap to help UAE amid potential Iran-related stress; UAE informal request to exchange dirhams for dollars; UAE and US emphasize strong ties; swap line would ease dollar shortages, with Fed as lender.
Abstract: President Trump indicated the United States may offer a currency swap with the UAE to shore up its Gulf ally if Iran-related economic strain emerges. The UAE privately requested dollar liquidity; a Fed swap line would exchange dirhams for dollars and back under agreed terms, reinforcing a long-standing US-UAE partnership.
GateNews6h ago
