The Bangko Sentral ng Pilipinas (BSP) projected inflation this month to settle within 2 to 2.8 percent, higher than the 1.9 percent recorded in September.

"Higher prices of food commodities such as vegetables, fruits, and fish as well as domestic petroleum products and the peso depreciation are the primary sources of upward price pressures for the month," BSP said in a statement on Thursday.

Rice trends lower

The central bank, however, said inflation growth will likely be tempered by lower prices of rice, meat, and electricity.

The BSP statement came after severe tropical storm Kristine hit Luzon and Visayas last week, leaving agricultural damage amounting to over P80 million, according to the Department of Agriculture.

"Going forward, the Monetary Board will continue to take a measured approach in ensuring price stability conducive to balanced and sustainable growth of the economy and employment," BSP said.