MANILA – The Bangko Sentral ng Pilipinas (BSP) expects inflation in January 2026 to settle within a range of 1.4 to 2.2 percent.

The central bank noted that upward price pressures could come from higher costs for key food items such as rice and fish, rising domestic fuel prices, annual excise tax adjustments on alcohol and tobacco, increased water and toll rates, and the depreciation of the peso.

These pressures, however, may be partially offset by lower electricity charges in Meralco-serviced areas and stabilizing vegetable prices, the BSP said.

The central bank reaffirmed its commitment to a data-driven approach, continuing to closely monitor domestic and international developments that could affect inflation and economic growth.