MANILA -- Finance Secretary Benjamin Diokno on Tuesday said he is bullish about Philippine inflation, noting that it could fall below 2 percent by the first quarter of 2024.

Diokno said the July inflation rate will likely follow the trend and remain within the Bangko Sentral ng Pilipinas' target of 4.1 to 4.9 percent.

"The midpoint is 4.5. That is consistent with Central Bank view that by the fourth quarter, inflation will be within our target range of 2-4 percent," he said.

"And that, in fact, there’s a possibility , if this continues, unless there are other shocks, that we might overshoot—in fact inflation might be somewhere below 2 by the first quarter of 2024," Diokno added.

"I think even with the slight increase in food prices, and also I assume vegetable [prices] will go up too because of the typhoons, I think we're okay," he said.

Inflation eased to 5.4 percent in June, slower than the 6.1 percent inflation rate reported in May.

• Inflation further eases to 5.4 percent in June

July inflation will be announced on Friday, August 4.