MANILA, April 8 ------ Inflation quickened to 3.7 percent in March amid higher food prices, and higher costs in transport, restaurant and accommodation services, the Philippine Statistics Authority said. "Food inflation at the national level rose to 5.7 percent in March 2024 from 4.8 percent in February 2024," the PSA said.
The March inflation figure brought the average inflation for the first three months of the year to 3.3 percent. National Statistician and Undersecretary Dennis Mapa noted the faster 17.3 percent inflation rate for rice, corn, flour, and other cereal products. This was quicker than the 17 percent clip in February.
Mapa said that the year-on-year price hikes for rice have been high. While regular milled in March last year was sold at an average of P39.90 per kilo, in March this year it was selling at P51.11, or an increase of 28.1 percent. Well-milled sold at P44.23 per kilo in March last year, while the same rice today is sold at P56.44, or 27.6 percent. Special rice was P54 in March last year, while this year it was P64.75 versus or 19.9 percent increase.
Rice prices also climbed based on a month-on-month tracking. Mapa said rice inflation is expected to remain high until July. "Ang expectation natin ay tataas [rice inflation rate] until July," Mapa said. This is partly due to low base effects, or the lower rice inflation rates last year from January to July, he added.
Pork prices also posted quicker increases during the month. Aside from these commodities, Mapa also noted the slower year-on-year decrease in vegetables, tubers, plantains, cooking bananas and pulses, as well as the slower annual decline in the index of oils and fats. Slower decreases in diesel prices and faster increases in gasoline prices also pushed transport costs up, particularly in tricycle fares.
For the poorest 30 percent of the Philippine population, inflation was even higher at 4.6 percent, as food made up a bigger share of the goods and services they consumed, the PSA said. Meanwhile, core inflation, which strips out volatile food and energy items, slowed down to 3.4 percent in March 2024 from 3.6 percent in the previous month. In March 2023, core inflation was higher at 8 percent, the PSA said.
Inflation in March was also within the Bangko Sentral ng Pilipinas' forecast range of 3.4 to 4.2 percent inflation for the month and within the government's 2 to 4 percent target range. The BSP has ruled out interest rate cuts until inflation settles firmly within the government's target range.
Source: news.abs-cbn.com
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