The Bangko Sentral ng Pilipinas (BSP) Department of Economic Research projects January inflation to settle within the 4.3 ? 5.1 percent range.

''Domestic oil price hikes, due to higher international crude oil prices and the second tranche of the excise tax adjustment from the TRAIN (Tax Reform for Acceleration and Inclusion Law) is seen to be the primary driver of inflation for the month,'' the central bank's economic research department said in a forecast Thursday.

Inflation for December 2018 came in at 5.1 percent, down from 6 percent in November. The central bank set a forecast of 2-4 percent for inflation in 2019.

''In addition, higher fish and vegetable prices due to colder weather conditions and the annual adjustments in the excise taxes of alcoholic beverages from the Sin Tax Law could result in additional upward price pressures,'' the report said. '' These may be partly offset by lower rice prices, downward adjustment in electricity rates, and the slight appreciation of the peso.'' DMS