Manila, July 3: The Philippines annual inflation in June was probably slightly higher than in May due to the effects of a petroleum price hike and an uptick in food prices, economists said.A Reuters poll of 10 economists indicated annual inflation in June will likely come in at 4.24 per cent, a slight rise from May's 4.1 per cent but lower than the year-ago 5.7 per cent.The government has forecast June inflation at 4.2 to 4.3 per cent. June inflation is due to be announced on July 5."The moderate trend continued. Everyone feels pressure from global oil prices climbing higher but inflation remains under control," said David Cohen, chief macroeconomic forecaster at Standard & Poor's/MMS.
Oil refiners raised pump prices by an average of 40 centavos per litre in early June, a move which economists said had only partially affected overall consumer prices."In June and for that matter in July, the increase of fuel prices would continue to another round of increased inflation," said Ronnie Balagot, economist at All Asia Capital and Trust Corp. Oil companies announced another increase of 55 centavos per litre, or between 3.5 and five per cent, and economists said the two price hikes would affect overall inflation more significantly in July.
-- (Reuters)
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