The central bank of the Philippines maintained its policy rates, citing a stable outlook for inflation.

The Bangko Sentral ng Pilipinas kept the overnight reverse repurchase rate at 3% and the corresponding interest rates on the overnight lending and deposit facilities. The reserve requirement ratios were also left unchanged.

The central bank said its latest baseline inflation forecasts remain within the target range of 3%, plus or minus 1 percentage point, for 2018 to 2019.

BSP added that inflation risks remain tilted to the upside, citing possible higher crude oil prices.

The central bank added that while a proposed tax reform program may pose transitory effects on consumer prices, various mitigating measures and improvement in output and productivity may help neutralize its impact on inflation over the medium term.