December inflation likely to jump

MANILA, Philippines - Higher electricity and oil prices and the impact of the recent typhoon on food items are likely driving inflation to another uptick in December, the Bangko Sentral ng Pilipinas (BSP) said on Thursday.

BSP Governor Amando Tetangco, Jr. said December inflation is likely to stay between 3.8 percent and 4.7 percent.

"Going forward, the BSP will remain vigilant in monitoring price pressures to ensure price stability conducive to a balanced and sustainable economic growth,” Tetangco said.

Inflation in the first 11 months of the year averaged 2.8 percent, below the government's target of 3 to 5 percent. Inflation last month rose to 3.3 percent due to typhoon Yolanda's impact on commodity prices.

Inflation is expected to remain between 3 and 5 percent in 2014.