Manila, April 2 -- Consumer spending is expected to accelerate this year, supported by easing inflation which will allow the central bank to further reduce interest rates, BMI, a Fitch Solutions unit said.

In a report released Wednesday, BMI noted that headline inflation "has shown signs of a slow easing", settling at 2.1 percent in February this year, the lowest since September 2024.

The latest inflation data is at the lower end of the Bangko Sentral ng Pilipinas' (BSP) 2 to 4 percent target range.

"This would support the BSP cuts which would in turn reduce debt serving costs for consumers in the Philippines," BMI said.

BMI expects the central bank's Monetary Board to reduce policy rates by another 25 basis points next week.

"As suc...