Manila: The Philippine government is prepared to roll out targeted subsidies and other forms of assistance to mitigate the potential inflationary impact of rising global tensions, particularly in the Middle East. In a Bagong Pilipinas interview on Friday, Department of Economy, Planning and Development (DEPDev) Undersecretary Rosemarie Edillon assured that the government has laid out contingency measures in anticipation of potential spikes in oil prices.

According to Philippines News Agency, Edillon emphasized that the government is ready for any possibility, prioritizing the safety of Filipinos in affected areas. She highlighted the preparedness of the government to address the potential rise in gasoline and crude oil prices through fuel subsidies and various forms of assistance designed to alleviate the negative impact of such increases, especially on inflation.

Edillon assured the public that the government has readied a range of support mechanisms, from fuel subsidies for affected sectors to inflation-mitigating measures for basic goods. She noted that systems are already in place for a quick response in case the tension escalates.

Meanwhile, Edillon said that despite growing global uncertainties, DEPDev projects inflation to remain within the government's target range of 2 percent to 4 percent. She expressed hope that other commodities will continue to stabilize in the market and that tensions in the Middle East will ease, potentially leading to a rollback in prices next week, which would help stabilize inflation.

Edillon explained that for 2025, the government reduced its growth target to between 5.5 and 6.5 percent, down from the previous forecast of 6 to 8 percent, considering the current global uncertainties. She stated that DEPDev aims to provide the government with some flexibility to respond to any eventualities.

Edillon encouraged the public to be prudent, adopt cost-saving strategies, and continue to monitor developments. She advised that if the price of a commodity increases, consumers should consider purchasing substitutes to avoid being affected by inflation. With rising gas prices, she recommended planning vehicle usage effectively.

Edillon also assured that the government remains fully committed to acting swiftly to limit inflation's impact, especially on vulnerable sectors.