Metro Manila, November 12 ------ The country’s inflation rate fell to 4.9% in October despite recent price hikes in power, agricultural products, and jeepney fares, the Philippine Statistics Authority (PSA) reported. According to data from the PSA, inflation was cooler last month than the 6.1% posted in September. October’s inflation rate is outside the 5.1% to 5.9% forecast range of the Bangko Sentral ng Pilipinas.
In a briefing, National Statistician Dennis Mapa attributed the decline to the slower year-on-year increase in food and non-alcoholic beverages, and restaurant and accommodation services. Food inflation also dropped last month to 7.1% from September’s 10%, driven by vegetables and rice. These three commodity groups, however, posted higher inflation—clothing and footwear; housing, water, electricity, gas and other fuels; and information and communication.
Inflation rate in Metro Manila and areas outside the capital region likewise cooled down to 4.9%. Central Luzon recorded the highest inflation rate at 6%, while Cagayan Valley had the slowest at 3.4%. Mapa said 15 regions outside Metro Manila booked lower inflation last month. “If we don’t see supply shocks, our view is inflation rate would go down,” Mapa said when asked if easing inflation would continue in the last two months of 2023. “But whether it will reach 2-4% (inflation target), we will have to see,” he added.
The official said that while they recorded an increase in the prices of milk, dairy, and eggs, their weight in the food basket were “not substantial.” On the recent jeepney fare hike, Mapa said it was offset by the slower price movements in other transportation segments, such as fuel, taxi and bus fares.
Source: cnnphilippines.com
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