Inflation may not slow down in Q4, cautions economist

MANILA – Inflation may not slow down in the fourth quarter of 2018 contrary to the position of the Bangko Sentral ng Pilipinas (BSP) that it will decelerate in the last three months of the year, an economist said.

Prices of goods and services spiked to 6.4 percent in August, a nine-year high.

“6.4 ‘ Ngayon pa lang ‘yung

namiss di na nila inaasahan ‘ yan.

forecast Kumbaga na nila ‘ yung nila ngayon

Actually pa lang. ngayon napapaisip na yata sila na

nila,” JC Punongbayan masyadong mababa ‘ yung said in an interview with GMA sinabi Network’s resident analyst Richard Heydarian. “I m e a n h i n d i

fourth makatotohanan ‘yung sinabi quarter, especially with the nila na bababa na ‘yung disaster,” Punongbayan noted.

Typhoon “Ompong” hit Northern Luzon on Saturday, Sept. 15, inflicting damage to life, crops, and infrastructure.

P u n o n g b a y a n , a professor at the University of the Philippines School of Economics, pointed out that inclement weather is the reason for problems in rice distribution and vegetable supply. “for example, Pero kasi, bad weather ‘ kung maaalala natin, ‘ yung

yun pa rin ang pagdistribute dahilan kung bakit nahirapan NFA rice. ‘ yung nung

Tapos ang problema

So to the extent din diyan ‘yung problema ng mga gulay ... na kung totoo nga ‘yun, ibig

inflation,” sabihin maaasahan natin na Punongbayan pointed out. papalo pa ‘ yung

Inflation was likely to peak in the third quarter of 2018 before being tempered by non- monetary measures in the last three months of the year, despite the damage from typhoon “Ompong,” according to the Bangko Sentral ng Pilipinas.

“We continue t o see inflation peaking in the third quarter of 2018 ... In October, November, December, we do expect that those non- monetary measures that the economic cluster committee (proposed) will provide some support to the decline of inflation moving forward,” BSP deputy g overnor Diwa Guinigundo said in a press briefing at the BSP headquarters in Manila.