The Philippine central bank said that it had raised interest rates for the second time in six weeks in an effort to tame inflation.

Mr Amando Tetangco central bank governor said that the overnight borrowing rate rose by 25 basis points to 4.5% and the overnight lending rate increased by the same amount to 6.5%.

He added that "The 3% to 5% inflation target for 2011 remains at risk mainly because of expected pressures on oil prices."

(Sourced from The Star)