President Ferdinand R. Marcos Jr. was recently briefed on the Bangko Sentral ng Pilipinas’ (BSP) latest monetary policy decisions and the broader economic outlook, according to the Presidential Communications Office (PCO) on Wednesday.

The update followed a meeting between Marcos and BSP Governor Eli Remolona Jr. held Tuesday at Malacañan Palace in Manila.

In its statement, the PCO said Remolona outlined the Monetary Board’s (MB) decision in December 2025 to cut the central bank’s benchmark interest rate to 4.5 percent, down from 4.75 percent in October 2025. The move was intended to help stimulate economic activity as inflation pressures continued to ease.

As part of the same policy adjustment, the MB—BSP’s top decision-making body—also reduced the interest rate on overnight deposit facilities to 4 percent from 4.25 percent, and trimmed the overnight lending rate to 5 percent from 5.25 percent.

“In its latest monetary policy meeting, the BSP projected that economic growth would remain modest through the first semester of 2026 before a rebound in 2027 that is partly supported by earlier policy easing,” the PCO said.

The central bank further indicated that its current phase of monetary easing is approaching its conclusion, suggesting that future policy moves will be more cautious as officials continue to evaluate both domestic and international economic developments.

The PCO added that Marcos and Remolona also discussed the World Bank’s assessment of the Philippine economy, which points to stronger growth prospects over the next two years.

“The World Bank projected a boost in private consumption if inflation stays low, employment remains strong, and monetary easing lowers interest rates, which would encourage businesses and households to spend and invest more,” it said.

According to the PCO, investment activity is likewise expected to accelerate as government infrastructure projects resume and recent liberalization measures further enhance the country’s business climate.

For sustainable and inclusive growth, the World Bank stressed that regions outside Metro Manila—particularly low- and middle-income areas—must continue to expand at a faster pace, the PCO said.