The Philippines left its benchmark interest rate unchanged for an eighth straight meeting, as the prospect of faster economic growth next year reduces the need for monetary stimulus according to Bloomberg.
Currently though, other countries tend to increase their interest rates in the hope of attracting foreign
investors. What does that make the emerging markets then? The other markets will
have to therefore increase interest rates so they can also attract foreign
investors in their country. So, it is predicted that interest rates will rise worldwide as for economists
to get out of crisis. The increase will be between 200-300 basis points in the
next 2-3 years. Therefore, the best time to get a loan is
now.
There are a lot more of developments that will affect
interest rates. And we don’t know what
will happen to the economy in the next few months. One thing is
for sure, our inflation rate now has remained low and it is predicted that
interest rates will remain low in the next month or quarter.
But inflation rates that are low can prevail for some time.
Another phenomenon is the low oil prices. The reason why it concerns the Philippines and the rest of
the world is that oil producing countries employ most of our OFWs. If oil
prices remain low, the economies of these oil producing countries will not do
well. That would mean OFWs will lose their jobs and that will have an
impact on the Philippine economy where 10 Million of Filipinos are
OFWs. If they come home because of that, unemployment will rise, less remittances, lower GDP,
we can connect the dots. And therefore it is not really totally a good thing
that oil prices are remaining this low. 
Lastly, stock market is going down. This week the PSE had increased to 6,899.
Last year, it is higher at 7,000. But for the rest of the world it remains
down. And there are predictions that the
stock market will go as low as 5,500. What does that mean to those who are
looking for good investments? The best venue to invest then, is in real estate.
We haven’t seen real estate values go down especially outside Metro Manila
where there’s still room for growth and development. Real estate is good contrary to those who
are thinking that there is a bubble. You just have to learn to look at the
opportunities. 
