SECOND QUARTER 2017
Inflation for the bottom 30% income households at the country level increased by 2.8 percent in the second quarter of 2017. It was the same rate recorded in the previous quarter, while in the same period in 2016, it went up by 1.0 percent. Faster annual increases were noted in the indices of food, beverages and tobacco (FBT) at 2.9 percent and housing and repairs (H&R), 2.1 percent. On the other hand, the annual growth of fuel, light and water (FLW) index was lower at 4.8 percent; services index, 1.2 percent; and miscellaneous index, 0.9 percent. The clothing index retained its previous quarter’s rate of 0.8 percent (see Table 4 and Table 7).
The annual increment of the food alone index in the Philippines picked up by 2.8 percent in the second quarter of 2017. Its annual growth was pegged at 2.7 percent in the previous quarter and 1.3 percent in the second quarter of 2016 (see Table 12).
Higher annual mark-ups were seen in the indices of the rice at 1.2 percent; fish, 7.3 percent; and meat, 4.0 percent. The rest of the food groups had lower annual rates during the quarter with the cereal preparations index retaining its previous quarter’s growth of 0.9 percent (see Table 8).
|Year-on-Year Inflation Rates in the Philippines, All Items
1st Quarter 2009 - 2nd Quarter 2017
National Capital Region (NCR)
Inflation in NCR however, eased to 5.2 percent in the second quarter of 2017. It was pegged at 5.4 percent in the previous quarter and 0.4 percent in the second quarter of 2016. Slower annual gains were noted in the indices of FBT at 5.3 percent; H&R, 0.2 percent; and FLW, 7.5 percent. The rest of the commodity groups exhibited higher annual increases (see Table 5 and Table 7).
On an annual basis, the growth of food alone index in NCR slid to 5.1 percent during the quarter. Its annual rate was 5.5 percent in the previous quarter and 2.3 percent in the same period in 2016 (see Table 12).
Lower annual upticks were observed in the indices of the following food groups:
- Rice (1.4%)
- Corn (9.7%)
- Eggs (7.5%)
- Fruits and vegetables (13.2%).
The indices of the following food groups however, posted higher annual increments during the quarter:
- Cereal preparations (3.1%)
- Dairy products (4.8%)
- Fish (9.1%)
- Meat (6.3%)
- Miscellaneous foods (3.1%) (see Table 8).
Areas Outside NCR (AONCR)
Inflation in AONCR remained at 2.8 percent in the second quarter of 2017. It went up by 1.0 percent in the same quarter of 2016. Higher annual upticks were seen in the indices of FBT at 2.9 percent and H&R, 2.2 percent. On the other hand, lower annual rates were recorded in the indices of clothing at 0.7 percent; FLW, 4.8 percent; services, 1.2 percent; and miscellaneous, 0.8 percent.
Nine regions had higher annual growths during the quarter with ARMM (Autonomous Region of Muslim Mindanao) still registering the highest annual rate of 5.7 percent. Meanwhile, the lowest annual inflation of 1.1 percent remained in Region VI (Western Visayas) (see Table 7).
The annual growth of the food alone index picked up by 2.8 percent during the quarter. In the previous quarter, it exhibited an annual rate of 2.7 percent and in the same period in 2016, 1.3 percent (see Table 12).
The annual mark-up in rice index was faster at 1.2 percent; fish, 7.3 percent and meat, 3.9 percent. On the other hand, lower annual upticks were noticed in the indices of corn at 1.6 percent; dairy products, 0.7 percent; eggs, 3.2 percent; fruits and vegetables, 5.2 percent; and miscellaneous foods, 0.2 percent. That for the cereal preparations index remained at 0.9 percent (see Table 8).
The quarter-on-quarter growth of the consumer prices for the bottom 30% income households at the national level moved up at a slower pace of 0.4 percent during the period in review. In the previous quarter, it rose by 0.9 percent. This was primarily brought about by the 0.1 percent drop in the FLW index. Moreover, lower mark-ups were registered in the indices of FBT at 0.5 percent and H&R, 0.5 percent. The clothing index however, recorded a higher rate of 0.2 percent while those for the indices of services and miscellaneous remained at 0.3 percent.
All the regions except Region VI (Western Visayas), Region XII (SOCCSKSARGEN), ARMM and NIR (Negros Island Region) posted either slower increases or declines. The lowest rate of -0.7 percent was seen in CAR (Cordillera Administrative Region) while the highest of 1.8 percent was observed in ARMM (see Table 9).
Lower charges in electricity rates and price rollbacks in LPG and kerosene in many provinces were noted during the quarter. In addition, the heavily-weighted food items such as fresh fish, fruits, vegetables, spices and seasonings were priced lower in many provinces. Price cuts in rice, corn, eggs, fruits and vegetables in NCR also contributed to the downtrend.
- Due to the peace and order problem in Marawi City, the province of Lanao del Sur was not able to conduct the price surveys during the month of June 2017. Hence, the computation of CPIs for the second quarter of 2017 excluded Lanao del Sur and Marawi City.
- For comparability purposes, the CPIs were recomputed for the Philippines, AONCR and ARMM for the first, second and fourth quarter of 2016 and first quarter of 2017. These recomputed CPIs excluded Lanao del Sur and Marawi City.
- Special tables were attached to this report to show the inflation rates for the first quarter of 2017 when Lanao del Sur and Marawi City were excluded in the computation (Table A and Table B).
- Monthly CPIs for the bottom 30% income households by province and selected cities are also available upon request at Philippine Statistics Authority, Economic Sector Statistics Service, Price Statistics Division (Telephone Number: 376-1959).