Philippine central bank delivers surprise rate cut amid growth concerns

Published 09/10/2025, 08:06
Philippine central bank delivers surprise rate cut amid growth concerns

Investing.com -- The Philippine central bank cut interest rates for the fourth consecutive time on Thursday, surprising markets as it pointed to a weaker growth outlook.

Bangko Sentral ng Pilipinas (BSP) reduced its benchmark overnight reverse repurchase rate by 25 basis points to 4.75% from 5.00%. The central bank also lowered its benchmark lending rate to 5.25% from 5.50%.

The decision caught many analysts off guard, with only three of 13 economists surveyed by The Wall Street Journal anticipating the rate cut. The majority had expected rates to remain unchanged, citing concerns about peso weakness and economic uncertainty.

This marks the fourth straight rate reduction by the Philippine central bank as policymakers continue to adjust monetary policy in response to changing economic conditions.

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