Inflation picks up to 4.5 percent in April

MANILA - Consumer prices rose 4.5 percent in April, Socioeconomic Planning Secretary Ernesto Pernia said Friday, as inflation breached the government's target for the second straight month.

Pernia made the announcement on the sidelines of an Asian Development Bank meeting, ahead of the release of official data.

Bangko Sentral ng Pilipinas Governor Nestor Espenilla said Thursday inflation pressures had "spread somewhat" fueling speculation that policy makers could raise interest rates as early as next week.

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The BSP had set a 2 to 4 percent inflation target for the year. Separate polls by Bloomberg and Reuters showed that consumer prices likely rose 4.5 percent in April, compared to a 4.3-percent uptick in March.

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The BSP's policy-making Monetary Board had kept the overnight borrowing rate at 3 percent since September 2014.