1. Philippines
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Inflation rate for the bottom 30% income households continued to move downward as it decelerated further to 4.3 percent in June 2021, from 4.5 percent in May 2021. It was posted at 3.0 percent in June 2020.
The Philippines’ average inflation for this particular group of consumers for the first semester of 2021 was recorded at 4.9 percent. (Table A and Figure 1)
The downtrend in the inflation for June 2021 was mainly brought about by the slower annual increase in the transport index at 14.7 percent, from 22.1 percent in the previous month.
Slower annual increments were also observed in the indices of alcoholic beverages and tobacco at 11.5 percent; commmunication, 0.4 percent; and restaurant and miscellaneous goods and services, 4.2 percent.
On the other hand, annual upticks were higher in the indices of food and non-alcoholic beverages at 3.5 percent; housing, water, electricity, gas, and other fuels, 3.0 percent; and furnishing, household equipment and routine maintenance of the house, 1.9 percent.
The rest of the commodity groups posted the same annual rates as in the previous month. (Tables 3 and 4)
Inflation of food index at the national level remained the same as its previous month’s annual rate at 3.6 percent. In June 2020, it was observed at 2.1 percent. (Table 7)
The annual growth rate of vegetables index inched up to 0.1 percent in June 2021, from -2.5 percent annual decline in the previous month.
Moreover, higher annual increases were seen in the indices of the following food groups in June 2021:
a. Corn, 2.9 percent;
b. Fish, 7.6 percent;
c. Oil and fats, 5.6 percent;
d. Fruits, 4.6 percent; and
e. Sugar, jam, honey, chocolate and confectionery, 1.0 percent.
Meanwhile, annual increments decelerated in the indices of other cereals, flour, cereal preparation, bread, pasta and other bakery products at 1.7 percent; meat, 20.2 percent; and milk, cheese and eggs, 2.2 percent.
The annual growth rates of the indices of rice and food products not elsewhere classified during the month went down further to -0.8 percent and -0.6 percent, respectively. (Table 5)
| Table B. Year-on-Year Inflation Rates of the CPI for the Bottom 30% Income Households in the Philippines, All Items January 2017 – June 2021 (2012=100) | |||||
| Month | Year | ||||
| 2017 | 2018 | 2019 | 2020 | 2021 | |
| January | 2.0 | 3.6 | 5.2 | 2.3 | 4.9 |
| February | 2.2 | 4.4 | 4.3 | 2.1 | 5.5 |
| March | 2.2 | 5.0 | 3.4 | 2.4 | 5.5 |
| April | 2.4 | 5.2 | 3.1 | 2.9 | 4.9 |
| May | 2.1 | 5.4 | 3.2 | 2.9 | 4.5 |
| June | 2.1 | 5.4 | 3.1 | 3.0 | 4.3 |
| July | 1.9 | 6.2 | 2.5 | 2.9 | |
| August | 2.3 | 6.9 | 1.7 | 2.7 | |
| September | 2.5 | 8.0 | 0.2 | 2.8 | |
| October | 2.7 | 8.1 | -0.1 | 2.9 | |
| November | 2.6 | 7.3 | 0.7 | 3.6 | |
| December | 2.7 | 6.3 | 1.9 | 4.3 | |
| Average | 2.3 | 6.0 | 2.4 | 2.9 | |
Source: Survey of Retail Prices of Commodities for Consumer Price Index, Philippine Statistics Authority
2. National Capital Region (NCR)
Inflation in NCR for this particular group of consumers also slowed down further to 4.1 percent in June 2021, from 4.4 percent in May 2021. In June 2020, inflation of consumer items for this income group in the region was recorded at 2.7 percent. (Tables A and 3)
Annual upticks were slower in the indices of furnishing, household equipment and routine maintenance of the house at 0.8 percent; transport, 3.6 percent; and restaurant and miscellaneous goods and services, 2.1 percent.
However, annual hikes were higher in the indices of the following commodity groups during the month:
a. Food and non-alcoholic beverages, 5.5 percent;
b. Alcoholic beverages and tobacco, 13.5 percent;
c. Clothing and footwear, 0.9 percent;
d. Housing, water, electricity, gas, and other fuels, 1.5 percent; and
e. Communication, 0.3 percent.
The rest of the commodity groups retained their previous month’s annual growth rates. (Table 3 and 4)
3. Areas Outside NCR (AONCR)
Similar to the trend at the national level and NCR, inflation for the bottom 30% income households in AONCR eased further to 4.3 percent in June 2021. In May 2021, inflation in the area was higher at 4.5 percent, while in June 2020, it was observed at 3.0 percent. (Tables A and 3)
Annual increases were slower in the indices of the following commodity groups in June 2021:
a. Alcoholic beverages and tobacco, 11.4 percent;
b. Transport, 15.1 percent;
c. Communication, 0.4 percent; and
d. Restaurant and miscellaneous goods and services, 4.3 percent.
On the contrary, annual increments were higher in the indices of food and non-alcoholic beverages at 3.5 percent; housing, water, electricity, gas, and other fuels, 3.0 percent; and furnishing, household equipment and routine maintenance of the house, 1.9 percent.
The rest of the commodity groups retained their previous month’s annual growth rates. (Tables 3 and 4)
Eight regions in AONCR exhibited slower inflation for the bottom 30% income households in June 2021. The lowest inflation of 1.8 percent during the month was noted in Region IX (Zamboanga Peninsula) and BARMM (Bangsamoro Autonomous Region in Muslim Mindanao), while the highest inflation of 6.5 percent was observed in Region II (Cagayan Valley). (Table 4)
Note:
CPIs and inflation rates for the bottom 30% income households by region are posted at the PSA website (http://openstat.psa.gov.ph/).
See more at the Consumer Price Index for Bottom 30% Income Households Main page.
