Infra boom won’t drive consumer prices up, DOF says
Increased government spending will not hurt the pockets of Juan Dela Cruz.
Consumer prices would not see an unusual spike even if the government goes on full throttle for its “Build, Build, Build” mantra, according to Department of Finance (DOF) Undersecretary and chief economist Gil Beltran.
In a study presented to DOF Secretary Carlos Dominguez III, Beltran said inflation stands “comfortable” at a 3.13 percent average from January-October, well below the annual average of 3.16 percent over the last seven years.
Beltran said inflation will be bearable for the average Filipino even if the government takes on massive spending on infrastructure, so long as the country’s production can “keep up with rising population and growing incomes.”
It’s a tall tale that needs constant monitoring.