Phillipines: BSP to cut 25bps – Standard Chartered

Bangko Sentral ng Pilipinas (BSP) is scheduled to meet on 19 March and a policy rate cut is expected by  Chidu Narayanan, an economist at Standard Chartered Bank. USD/PHP trades at 51.36.

Key quotes 

“We expect BSP to cut the policy cash rate by 25bps to 3.50%, following 100bps of rate cuts and 400bps of reserve requirement rate (RRR) cuts.” 

“We expect a third consecutive rate cut in May, taking the policy rate down to 3.25%. We see the risk of a 50bps rate cut by BSP in March, given the recent increase in the global coronavirus outbreak.”