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MANILA: The Philippine central bank cut its key interest rate by 25 basis points (bps) to 5.75% on Thursday, its governor said, reducing the overnight borrowing rate for a third straight meeting.

Bangko Sentral ng Pilipinas Governor Eli Remolona said the decision to cut rates was based on the central bank’s assessment that inflation expectations were well anchored and that economic growth was expected to remain firm but subdued.

Philippine central bank says will take ‘measured approach’ in easing cycle

All 24 economists polled by Reuters had expected the Bangko Setnral ng Pilipinas to cut its target reverse repurchase rate by 25 bps. The easing brought the target rate to its lowest since February 2023, when the rate was raised to 6%.

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