The Philippine central bank has cut interest rates, becoming the latest south-east Asian country to enact monetary easing in response to the novel coronavirus outbreak.
Meeting for the first time this year, the Bangko Sentral ng Pilipinas’ monetary board cut its benchmark interest rate by a quarter of a percentage point to 3.75 per cent.
The body said that prospects for global economic growth had weakened further amid geopolitical tensions, and noted that the virus could have an “adverse impact” on economic activity and market sentiment in coming months.
The Philippine economy is also contending with headwinds from an eruption of the Taal volcano and the outbreak of African swine fever, which has hurt the country’s farming and food sectors.
Thailand’s central bank on Wednesday cut its key lending rate by a quarter of a percentage point to 1 per cent, saying the country’s economy would expand at a much lower rate in 2020 than previously expected. Separately, Singapore’s monetary authority signalled that its currency could depreciate within its set band because of the outbreak.
Source: Economy - ft.com
