December 2019 inflation well within gov’t target —Palace

Malacañang on Tuesday said the uptick in the inflation rate last December should not be a cause for concern.

“The uptick in inflation rate in December 2019 to 2.5% from November 2019's 1.3% should not be a cause for alarm. It remains well within our target range of 2% to 4%,” presidential spokesperson Salvador Panelo said.

Citing the National Economic and Development Authority, Panelo said the latest inflation rate was mainly driven by an uptick in the prices of both food and non-food items due to the impact of typhoons and rising oil prices observed during the month of December.

According to the Bangko Sentral ng Pilipinas (BSP), the volatility in global oil prices and the potential impact of the African Swine Fever outbreak are the main upside risks to inflation this year.

The BSP also said the impact of global trade and policy uncertainty as well as geopolitical tensions continue to be the main downside risks to inflation.

“Our economic managers continue to keep a tight watch over inflation, amid emerging global threats,” Panelo said.  —KG, GMA News