Philippine Central Bank Still Behind The Curve, Continuum Says

The video discusses the recent rate hike in the Philippines, highlighting the ongoing negative real rates despite inflationary pressures. Factors such as rice shortages, global oil price increases, and high inflation expectations are examined. The BSP's monetary policy, including recent rate hikes and a hawkish stance, is analyzed. The discussion also covers the economic vulnerabilities of the Philippines, including a current account deficit and import needs. The video concludes with predictions for future rate hikes and the need for proactive economic measures.

What are some of the factors contributing to inflationary pressures in the Philippines?

• Reduction in transport costs

• Increase in local food production

• Shortage of rice

• Decrease in global oil prices

What stance has the BSP taken in response to the economic situation?

• A dovish stance

• No specific stance

• A neutral stance

• A hawkish stance

What is one of the suggested approaches for the Philippines to manage its economic vulnerabilities?

• Increasing export tariffs

• Reducing interest rates

• Adopting a policy similar to Indonesia's

• Decreasing infrastructure spending

What is a potential risk if the Philippines continues to be reactive rather than proactive?

• Surplus in the current account

• Decreased import needs

• Entering a feedback loop

• Improved economic stability

Why is it important for the Philippines to be proactive in its economic policies?

• To increase the current account deficit

• To reduce global pressures

• To decrease capital import needs

• To maintain a reactive stance