June annual inflation seen at over 2-1/2 yr high

Posted at 07/01/14 5:24 PM

MANILA - Philippine annual inflation may have quickened to its fastest pace in more than two and a half years in June, a Reuters poll showed, reflecting rising rice and vegetable costs, and higher transport fares and school fees.

The median forecast in a poll of 11 economists showed that the consumer price index likely rose 4.6 percent in June from a year earlier, the third straight month of increases, and the highest since November 2011.

The central bank, which has a 3-5 percent target band for 2014, gave a 4.1-5.0 percent estimate for June inflation.

On Thursday, Bangko Sentral ng Pilipinas Governor Amando Tetangco said the central bank was ready to undertake policy actions, if needed, to curb price pressures and manage inflation expectations.