But Bangko Sentral ng Pilipinas (BSP), which raised its rate by 25 basis points in September to rein in inflationary expectations, added that it still considers its current policy as "appropriate given the manageable inflation outlook and favorable domestic growth prospects."
The inflation rate in the Philippines eased to 3.7 percent in November from 4.3 percent in October while Gross Domestic Product was estimated to have expanded by an annual 5.3 percent in the third quarter, down from 6.4 percent in the second quarter.
In October the BSP also said the path of inflation in the next two years was lower that its forecasts. The BSP targets inflation of 4.0 percent, plus/minus one percentage point.
On Nov. 27 BSP Governor Amando Tetangco said in a statement that the current monetary policy conditions would support further economic activity despite the slowdown in growth.
Economists have said government spending declined by 0.3 percent in the third quarter, noting delays in reconstruction spending following typhoon Yolanda.
Bangko Sentral ng Pilipinas issued the following statement: