• Inflation for the bottom 30% income households in the Philippines went up by 0.8 percent in the fourth quarter of 2015. It was recorded at 0.5 percent in the third quarter of 2015 and 5.1 percent in the fourth quarter of last year. Higher annual mark-ups were noted in the indices of food, beverages and tobacco (FBT); housing and repairs (H&R) and services.
  
• The annual average inflation of the CPI for bottom 30% income households at the national level decelerated to 1.6 percent in 2015 compared to 6.0 percent in 2014.

  • Inflation in the National Capital Region (NCR) continued to register a negative annual rate at -0.8 percent in the fourth quarter of 2015. Last quarter, the annual change was posted at -1.8 percent while a 3.6 percent growth was observed in the same quarter a year ago. This was primarily effected by the double-digit annual decrease seen in fuel, light and water (FLW) index during the quarter.

  • The annual average growth in NCR for 2015 dropped by 0.3 percent from 5.2 percent in 2014.

  • Inflation in Areas Outside the National Capital Region (AONCR) picked up 0.8 percent in the fourth quarter of 2015. Last quarter, it was pegged at 0.5 percent and in the fourth quarter of 2014, 5.1 percent. Higher annual gains were observed in the indices of FBT; H&R; and services.

  • The annual average inflation for the year 2015 in AONCR slowed down to 1.6 percent from 6.0 percent in 2014.

• The country’s consumer prices for this income group went up 0.3 percent in the fourth quarter of 2015. This was the same rate recorded last quarter. During the quarter, upward price adjustments in food items such as rice, milk and milk products, fish, vegetables, fruits and meat were noted during the quarter. Higher rental rates of dwelling units and increased charges for selected medical services were also registered in many regions.

Year-on-Year Inflation Rates in the Philippines, All Items

First Quarter 2007 - Fourth Quarter 2015

• By Region, Year-on-Year
  

• The year-on-year adjustment of the consumer prices for this income group in NCR dropped by 0.8 percent in the fourth quarter of 2015.

• Inflation in AONCR, however, grew by 0.8 percent during the fourth quarter. Eight regions posted higher annual rates with Davao Region recording the highest rate of 3.1 percent. Meanwhile, Ilocos Region exhibited the lowest annual change at -0.8 percent.

• Among the regions in AONCR, the highest annual average inflation in 2015 at 4.1 percent was noticed in Davao Region while the lowest was in Ilocos Region at 0.2 percent.

• By Commodity Group, Year-on-Year

  At the national level, higher annual increments were noted in the indices of FBT at 1.3 percent; H&R, 3.3 percent; and services, 1.1 percent. On the contrary, the FLW index continued to move downward as its annual rate was observed at -4.9 percent. Movements in the indices of clothing and miscellaneous remained at 1.4 percent and 1.0 percent, respectively.

  The country’s annual adjustment in the food alone index settled to 1.1 percent during the fourth quarter of 2015. Last quarter, it was recorded at 1.0 percent.

  Annual mark-ups were faster in the indices of fish at 3.2 percent; fruits and vegetables, 6.6 percent; and miscellaneous foods, 1.7 percent. On the other hand, the annual increases of corn and cereal preparations indices both decelerated to 1.0 percent; dairy products index, 1.4 percent; and eggs index, 1.5 percent. The indices of rice went down by 1.7 percent and meat, -0.2 percent.
  

  The annual average growth of the food alone index at the national level in 2015 was slower at 2.4 percent compared to 7.5 percent increase last year.
  

  The annual average change of H&R index during the year picked up to 3.1 percent. Slower annual average growth was, however, noticed in FBT index at 2.5 percent; clothing index, 1.6 percent; services index, 1.0 percent; and miscellaneous index, 1.2 percent. That for the FLW index decreased by 6.4 percent in 2015.

  • In NCR, the annual change in FLW index declined by 11.5 percent during the fourth quarter of 2015. In addition, the annual uptick in H&R and clothing indices correspondingly slowed down to 1.2 percent and 0.6 percent. On the contrary, the FBT index registered a higher rate of 0.6 percent and services index, 2.2 percent. The annual rate of miscellaneous index remained at 0.5 percent.

    On an annual basis, the food alone index in NCR gained 0.5 percent growth during the quarter after it had a 0.4 percent decrease in the last quarter.

    Double-digit annual increases were noted in corn and fruits and vegetables indices at 11.3 percent and 16.1 percent, respectively. Moreover, the annual gain in fish index was higher at 0.1 percent and meat index, 0.5 percent. The rest of the food groups either had slower or negative annual rates.
    

    The annual average growth of food alone index in NCR decelerated to 1.5 percent in 2015. Last year, it was pegged at 7.2 percent.
    

    Annual average inflation for FLW index dropped by 12.5 percent. Lower annual average inflation was likewise recorded in FBT index at 1.6 percent; clothing index, 1.2 percent; and miscellaneous index, 1.0 percent. On the other hand, the annual average growth of services index accelerated by 2.3 percent while H&R index retained its last year’s annual figure of 1.0 percent.
    

  • In AONCR, the annual growth in the FBT index picked up 1.3 percent in the fourth quarter of 2015. Similarly, higher annual increments were likewise seen in the indices of H&R at 3.3 percent and services, 1.0 percent. On the other hand, the annual adjustment in FLW index declined by 4.7 percent while the indices of clothing and miscellaneous moved at their respective last quarter’s rates of 1.4 percent and 1.0 percent.

    The annual adjustment in the food alone index in AONCR climbed 1.1 percent in the fourth quarter of 2015. Last quarter, it had 1.0 percent.

    The annual change in fish index was higher at 3.2 percent; fruits and vegetable index, 6.5 percent; and miscellaneous foods index, 1.8 percent. Slower annual rates were, however, recorded in the rest of the food groups with the meat index registering an annual rate of -0.2 percent.

    Measured from a year ago level, the rice index decreased by 1.7 percent in the fourth quarter as 14 regions exhibited annual decreases. The lowest annual change of -5.3 percent was seen in Ilocos Region and Bicol Region while the highest rate was in Davao Region at 2.1 percent.
    

    The food alone index displayed lower annual average growth of 2.4 percent in AONCR during the year. In 2014, it was posted at 7.5 percent.
    

    The annual average rate of the FLW index dropped by 6.2 percent in AONCR in 2015. That for the FBT index eased to 2.5 percent; clothing index, 1.7 percent; services index, 1.0 percent; and miscellaneous index, 1.2 percent. On the other hand, a higher annual average growth of 3.1 percent was seen in the H&R index.
    

• By Region, Quarter-to-Quarter

  Compared to a quarter ago level, prices of items for this particular group of consumers in NCR inched up 0.2 percent in the fourth quarter. Positive growths were observed in the indices of FBT at 0.7 percent and miscellaneous, 0.1 percent. On the contrary, the FLW index continued to post quarterly decline at 2.7 percent. The rest of the commodity groups registered flat growths.

  Prices of consumer items for the bottom 30% income group in AONCR rose 0.3 percent in the fourth quarter, the same rate registered last quarter. This was mainly brought about by the higher upticks in the indices of H&R at 0.8 percent; clothing, 0.3 percent; and miscellaneous, 0.2 percent. Increments in FBT and services indices slowed down during the quarter at 0.3 percent and 0.2 percent, respectively. On the other hand, the FLW index continued to register a negative rate at -0.5 percent.

  Higher quarterly rates were noted in nine regions with the highest growth of 1.0 percent noticed in Central Luzon and Central Visayas. Meanwhile, the lowest rate of -1.4 percent was in Davao Region.

  Among the three big areas of the country, price gains in consumer items were generally higher in Luzon compared to those in Visayas and Mindanao areas.

• By Commodity Group, Quarter-to-Quarter

  Prices of consumer items for the bottom 30% income group at the national level grew by 0.3 percent in the fourth quarter. The clothing index moved up at a faster pace of 0.3 percent; H&R index, 0.8 percent; and miscellaneous index, 0.2 percent. Increases in the indices for the rest of the commodity groups were slower with the FLW index recording a 0.5 percent decrease during the quarter.

  In November, typhoon “Lando” hit the vegetable producing regions in the country. This generally limited the supply of vegetables in the markets, hence raising their prices in many regions. Moreover, bigger demands on fruits were observed during the holiday season. Thus, the fruits and vegetable index in AONCR grew by 3.0 percent during the quarter and in NCR, 7.3 percent. At the national level, the group’s index advanced 3.1 percent.

  Price hikes in selected fish species pushed up the fish index in the three areas: Philippines, 0.9 percent; NCR, 1.9 percent; and AONCR, 0.9 percent. Bad weather conditions due to typhoons “Lando” and “Nona” limited the volume of supplies of fish in the markets during the period. This factor triggered higher prices of selected fish species in many regions during the quarter.

  The dairy products index in AONCR picked up by 0.4 percent as milk and milk products were generally priced higher during the quarter. In NCR, the group’s index declined by 0.1 percent as prices of powdered milk were generally lower in the area. At the national level, the group’s index went up 0.4 percent.

  The damage done by typhoon “Lando” in livestock production generally pushed up prices of pork and beef in many regions. Hence, the meat index in NCR rose by 0.3 percent. The group’s index in AONCR was posted at 0.2 percent due to the general upward adjustments in the prices of chicken and beef in many regions. For the Philippines, the growth in the meat index was pegged at 0.2 percent.

  Higher prices of eggs in October and December in most of the regions resulted to a 0.6 percent growth in its group’s index in AONCR. On the contrary, the eggs index in NCR fell by 0.3 percent due to cheaper prices of fresh eggs. At the country level, the group’s index advanced 0.6 percent.

  Prices of ginger and garlic generally went down in many regions. Hence, the miscellaneous foods index in the Philippines and in AONCR decreased by 0.8 percent and in NCR, -1.1 percent.
  

  With 10 regions registering either lower or negative rates, the corn index in AONCR declined by 2.3 percent in the fourth quarter. The corn index in NCR, however, accelerated 18.3 percent due to its limited supply in the markets. For the Philippines, the index fell by 2.3 percent.
  

  The rice index in AONCR inched up 0.1 percent as six regions recorded higher rates. The group’s index in NCR had a zero growth. At the national level, the group’s index rose 0.1 percent.

• The H&R index in AONCR moved by 0.8 percent in the fourth quarter. This was due to price increments in salaries of carpenters and electricians and higher rental rates of dwelling units in many regions. The group’s index in NCR, however, registered a zero growth. At the national level, the growth in the H&R index was pegged at 0.8 percent.

• Increased charges for medical services and upward price adjustments in selected medicines noted in selected regions raised the services index in AONCR by 0.2 percent. In NCR, the group’s index recorded a zero growth as price rollbacks of petroleum products offset higher prices of selected school supplies and medicines. For the Philippines, the group’s index advanced 0.2 percent.

• The miscellaneous items index in NCR inched up 0.1 percent and in AONCR, 0.2 percent. This was brought about by the price hikes in some items for household operations and personal care and effects. At the national level, the group’s index exhibited a 0.2 percent growth during the quarter.

• Upticks in the prices of clothing and footwear items mainly contributed to the 0.3 percent growth in the clothing index in AONCR. Meanwhile, the group’s index in NCR had a zero growth. For the Philippines, the group’s index went up 0.3 percent.

• Lower charges in the electricity rates in many regions together with lower prices in kerosene nationwide pushed down the FLW index in the three areas: Philippines and AONCR, -0.5 percent; and NCR, -2.7 percent.

Note:

1. The survey reports from the following provinces were not received as of February 12, 2016:

   Marawi City - second phase for November 2015 and first and second phase for December 2015
   Bacolod City - first and second phase for November and December 2015
   

2. Monthly CPIs for the bottom 30% income households by province and selected cities are also available upon request at PSA, Price Statistics Division (Telephone Number: 376-1959).