BSP to keep key rates steady.

(From Philippine Daily Inquirer)

Byline: Doris C. Dumlao

THE BANGKO Sentral ng Pilipinas said it could resist pressure to raise its key policy rates, despite the expected increase in the US Federal Reserve rates, for as long as the inflation rate remained below 5 percent.

In an interview, BSP Deputy Governor Amando Tetangco said the local monetary authorities would not necessarily follow the expected moves of the US Fed.

Last week, US Fed Chair Alan Greenspan said that a long period of disinflation was over and that the institution was aware of the need to increase rates. He, however, refused to divulge the timing of any rate adjustment. …