MANILA — President Ferdinand R. Marcos Jr. met with Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona on Wednesday to discuss the Monetary Board’s October 2025 policy decision and the country’s overall economic outlook.

According to the BSP, inflation eased to 1.7 percent, while inflation for the bottom 30 percent of households dropped to –0.4 percent. The improved inflation environment prompted the Monetary Board to cut the policy rate to 4.75 percent to help make borrowing more affordable for families and businesses.

The BSP Governor said the rate cut was aimed at stimulating demand. He noted that the inflation outlook has improved enough for the central bank to be confident in reducing the policy rate. The BSP projects inflation to reach around 3.1 percent in 2026—within target—and approximately 2.8 percent in 2027.

While economic growth was weak in 2025, the BSP expects recovery by 2026, with growth returning to the government’s target range by 2027.

The President reaffirmed his commitment to protecting economic stability and ensuring conditions that support sustained and broad-based growth for Filipinos.