Based on our latest baseline forecasts, which include the potential impact of higher crude oil prices, inflation is seen to settle at 3.7 percent in 2022 and 3.3 percent in 2023, well within the government’s target range of 2 to 4 percent.
Similarly, results of the BSP’s survey of private sector economists conducted in December 2021 showed steady mean inflation forecasts at 3.5 percent and 3.1 percent for 2022 and 2023, respectively. However, risks to the domestic inflation outlook appear to be slightly on the upside for 2022 but are broadly balanced for 2023.