MANILA — The Bangko Sentral ng Pilipinas (BSP) projects headline inflation for July 2025 to settle within the range of 0.5 to 1.3 percent, potentially easing from the previous month’s 1.4 percent.

According to the BSP, upward price pressures for the month are likely to stem from higher meat and vegetable prices due to unfavorable weather conditions, along with increased electricity rates, elevated domestic fuel prices, and the depreciation of the peso. These, however, may be tempered by the continued decline in rice prices.

“The BSP will continue to monitor developments affecting the outlook for inflation and growth in line with its data-dependent approach to monetary policy decision-making,” the central bank said.

The Philippine Statistics Authority (PSA) earlier reported that headline inflation rose slightly to 1.4 percent in June from 1.3 percent in May, bringing the year-to-date average to 1.8 percent — well below the 3.7 percent posted in the same period last year.

The uptick in June inflation was attributed mainly to faster annual increases in housing, water, electricity, gas, and other fuels, which rose by 3.2 percent from 2.3 percent in May. Transport costs also contributed, with the index dropping by a slower 1.6 percent compared to the 2.4 percent decline the month prior.