THE Bangko Sentral ng Pilipinas (BSP) is expected to limit interest rate reductions to just two 25-basis point (bps) cuts this year after the US Federal Reserve said that borrowing costs could be reduced by half a percentage point by the end of 2025, a Maybank economist said.
"With US Fed signalling shallower easing this year at 50 bps (vs 100 bps [in] cuts last year), we also expect a narrower quantum of BSP rate cuts this year of 50 bps," Maybank Investment Banking Group chief economist Suhaimi Ilias told The Manila Times.
