Policy Interest Rate (BSP) in Philippines

The Philippines' official interest rate: the Target Reverse Repurchase (RRP) Rate set by the Monetary Board of the Bangko Sentral ng Pilipinas (BSP). Since September 2023 it has been the primary rate signalling the BSP's monetary policy stance.

It is not a statistic: the BSP's Monetary Board decides the level at its regular meetings (six a year in 2026), guided by inflation and the cycle. The decision is announced on the meeting day, usually on a Thursday afternoon Manila time.

A hike raises borrowing costs to curb inflation and tends to strengthen the Philippine peso (PHP); a cut cheapens credit to support the economy. It is the BSP's main policy benchmark and moves market rates and the currency.

It changes only on decision dates (a step function), and the BSP can also call off-cycle meetings not on the annual calendar. Its impact on the real economy works with lags.