Philippine annual inflation slows to 6.8% in May

MANILA, June 5 : Philippine annual inflation stood at 6.8 per cent in May, below the previous month's 7.2 per cent rate, driven mainly by slower increases in food and transport costs, the statistics agency said on Friday.

• The consumer price index was below the 7.5 per cent median forecast in a Reuters poll.

• It was also below the central bank's projection that annual inflation in May would be within a 7.1 per cent to 7.9 per cent range.

• The average inflation rate in the five months to May was 4.5 per cent, above the central bank's 2.0 per cent to 4.0 per cent target.

• Core inflation, which excludes volatile food and energy prices, quickened to 4.1 per cent in May from 3.9 per cent in April.

• The Philippine central bank hiked its interest rate by 25 basis points in April to keep a lid on inflation.

• The central bank next meets on June 18 to review policy.