Table A. Year-on-Year Inflation Rates
for the Bottom 30% Income Households, All Items
In Percent
(2018=100)

A. Philippines                       

1. Overall Inflation

The country’s inflation rate for the bottom 30% income households slowed down to 2.4 percent in January 2025 from 2.5 percent in December 2024. In January 2024, the inflation rate was posted at 3.6 percent. (Figure 1, and Tables A, B, 5, 6, and 12)

1.1 Main Drivers to the Downward Trend of the Overall Inflation

The downtrend in the overall inflation for the bottom 30% income households in January 2025 was primarily brought about by the lower year-on-year growth rate in housing, water, electricity, gas and other fuels index at 2.4 percent in January 2025 from 2.8 percent in the previous month. In addition, the lower annual increases in the restaurants and accommodation services index at 3.4 percent during the month from 3.6 percent in December 2024, and transport index at 1.7 percent in January 2025 from 1.9 percent in the previous month also contributed to the downtrend in the overall inflation.

Moreover, lower annual rates were noted in the indices of the following commodity groups during the month:

a. Clothing and footwear, 2.3 percent from 2.4 percent;
b. Recreation, sport and culture, 4.5 percent from 4.6 percent; and 
c. Education services, 4.2 percent from 4.4 percent.

In contrast, higher annual growth rates were noted in the indices of alcoholic beverages and tobacco at 3.9 percent in January 2025 from 3.5 percent in December 2024, and health at 2.0 percent during the month from 1.8 percent annual rate in December 2024.

The financial services recorded zero percent inflation rate in January 2025 from an annual decline of 0.1 percent in December 2024. The indices of the rest of the commodity groups retained their respective previous month’s annual rates. (Tables 5 and 6)

1.2 Main Contributors to the Overall Inflation

The following commodity groups were the top three contributors to the January 2025 overall inflation for the bottom 30% income households:

a. Food and non-alcoholic beverages with 52.8 percent share or 1.3 percentage points;
b. Housing, water, electricity, gas and other fuels with 14.9 percent share or 0.4 percentage point; and
c. Restaurants and accommodation services with 10.2 percent share or 0.2 percentage point.  

2. Food Inflation

Food inflation for the bottom 30% income households at the national level moved at a slower pace of 2.3 percent in January 2025 from 2.4 percent in the previous month. In January 2024, its annual increase was observed at 5.3 percent. (Table 9)

2.1 Main Drivers to the Downward Trend of Food Inflation

The deceleration of food inflation was mainly due to the annual decline in the rice index at 3.0 percent during the month from a 0.7 percent annual increase in December 2024.

Moreover, lower inflation rates during the month were noted in the following food groups:

a. Corn, 1.4 percent from 2.9 percent;
b. Milk, other dairy products and eggs, 3.2 percent from 3.3 percent; and
c. Fruits and nuts, 6.3 percent from 6.7 percent.

In contrast, higher annual increases were noted in the following food groups:

a. Meat and other parts of slaughtered land animals, 6.2 percent from 4.4 percent;
b. Fish and other seafood, 2.6 percent from 0.8 percent;
c. Oils and fats, 4.7 percent from 2.5 percent;
d. Vegetables, tubers, plantains, cooking bananas and pulses, 14.3 percent from 6.9 percent; and
e. Ready-made food and other food products not elsewhere classified, 4.6 percent from 4.5 percent.

In addition, slower annual decrease was observed in the index of sugar, confectionery and desserts at 3.0 percent during the month from a 3.4 percent annual decrement in December 2024.

The flour, bread and other bakery products, pasta products, and other cereals index retained its respective previous month’s annual rate of 2.1 percent. (Tables 7 and 11)

2.2 Main Contributors to Food Inflation

Food inflation contributed 48.6 percent or 1.2 percentage points to the January 2025 overall inflation of the bottom 30% income households.

Among the food groups, the main contributors to the food inflation during the month were the following:

a. Vegetables, tubers, plantains, cooking bananas and pulses with 53.7 percent share or 1.2 percentage points;
b. Meat and other parts of slaughtered land animals with 35.7 percent share or 0.8 percentage point; and  
c. Fish and other seafood with 20.7 percent share or 0.5 percentage point.

                      
 

B. National Capital Region (NCR)

Inflation for the bottom 30% income households in NCR eased to 3.3 percent in January 2025 from 3.6 percent in December 2024. In January 2024, inflation in the area was observed at 3.4 percent. (Tables A, 5, 6, and 13)

The downtrend of the inflation in the area was mainly brought about by the lower annual increment in the housing, water, electricity, gas and other fuels at 2.8 percent during the month from 4.0 percent in December 2024. Also contributing to the downtrend of the overall inflation in the area was the slower annual increase observed in restaurants and accommodation services at 1.7 percent in January 2025 from 2.2 percent in the previous month.

In addition, lower annual increments were noted in the indices of the following commodity groups during the month:

a. Alcoholic beverages and tobacco, 2.2 percent from 2.5 percent;
b. Clothing and footwear, 1.2 percent from 1.7 percent;
c. Furnishing, household equipment and routine household maintenance, 1.1 percent from 1.7 percent;
d. Information and communication, 0.1 percent from 0.2 percent;
e. Recreation, sport and culture, 2.7 percent from 3.4 percent; and
f.  Personal care, and miscellaneous goods and services, 2.5 percent from 2.7 percent.

Moreover, annual decrease was noted in the index of transport at 0.3 percent during the month from a zero percent annual rate in December 2024.

On the other hand, faster annual increments were observed in the indices of food and non-alcoholic beverages at 5.1 percent in January 2025 from 5.0 percent in the previous month, and health at 1.6 percent during the month from 1.2 percent in December 2024. The index of financial services recorded zero percent inflation rate in January 2025 from an annual decline of 0.1 percent in December 2024.

Meanwhile, the annual rate in the index of education services remained at its previous month’s annual rate of 2.3 percent. (Tables 5 and 6)

C. Areas Outside NCR (AONCR)

Following the trend at the national level and NCR, inflation for the bottom 30% income households in AONCR decelerated to 2.4 percent in January 2025 from 2.5 percent in December 2024. In January 2024, inflation for this income group was registered at 3.6 percent. (Tables A, 5, and 14)

The deceleration of inflation in the area was mainly influenced by the lower year-on-year growth rate in the housing, water, electricity, gas and other fuels index at 2.3 percent in January 2025 from 2.7 percent in December 2024. The restaurants and accommodation services also contributed to the downtrend in the inflation in AONCR with slower annual increment of 3.5 percent during the month from 3.7 percent in December 2024.

In addition, slower annual increases were observed in the indices of the following commodity groups during the month:

a. Clothing and footwear, 2.3 percent from 2.4 percent; 
b. Furnishings, household equipment and routine household maintenance, 2.3 percent from 2.4 percent;
c. Transport, 1.8 percent from 1.9 percent;
d. Recreation, sport and culture, 4.5 percent from 4.7 percent; and
e. Education services, 4.2 percent from 4.5 percent. 

Meanwhile, faster annual increases were observed in the indices of alcoholic beverages and tobacco at 4.0 percent in January 2025 from 3.6 percent in the previous month, and health at 2.0 percent during the month from 1.9 percent in December 2024.

Moreover, the index of financial services recorded zero percent inflation rate in January 2025 from an annual decline of 0.1 percent in December 2024.

The indices of the rest of the commodity groups remained at their respective previous month’s annual rates. (Tables 5 and 6)

In January 2025, eight regions outside NCR recorded lower inflation rates for the bottom 30% income households relative to their respective inflation rates in December 2024. The lowest inflation rate was recorded in Region VIII (Eastern Visayas) at 0.6 percent, while the highest inflation rate was observed in Region II (Cagayan Valley) at 5.4 percent. (Table 6)



Note: CPIs and inflation rates for the bottom 30% income households by region are posted at the PSA OpenSTAT portal at https://openstat.psa.gov.ph/PXWeb/pxweb/en/DB/DB__2M__PI__BIH__2018/?tablelist=true.

CLAIRE DENNIS S. MAPA, PhD                    
Undersecretary                       
National Statistician and Civil Registrar General                       
 

See more at the Consumer Price Index for Bottom 30% Income Households main page.