Starting February 2022, the Philippine Statistics Authority (PSA) released the rebased Consumer Price Index (CPI) for all income households to base year 2018, from base year 2012 as announced in the press release number 2022-01 dated 04 January 2022. The CPI series for all income households for January 2023 onwards will be 2018-based.
A. Philippines
The country’s inflation rate slowed down further to 5.4 percent in June 2023 from 6.1 percent in May 2023. Despite the decline, the inflation rate in May 2022 was still higher at 6.1 percent. The year-to-date average inflation rate, that is from January to June 2023, stood at 7.2 percent. (Table A)
B. Central Visayas
Similar to the national trend, the Central Visayas's inflation rate slowed down further to 5.0 percent in June 2023 from 5.4 percent in May 2023. In June 2022, the inflation rate was higher at 5.7 percent. (Table A)
C. Province of Negros Oriental
1. Headline Inflation
Headline inflation or the overall inflation in Negros Oriental has decreased to 6.9 percent in June 2023 from 7.3 percent in May 2023. The inflation rate in June 2022 was observed at 5.3 percent. This brought the average inflation rate from January to June 2023 to 7.1 percent. (Figure 1)
The province’s inflation rate was higher than the region’s inflation rate. (Table 1)
1.1 Main Drivers to the Downward Trend of the Headline Inflation
Among the 13 commodity groups, the downward trend of the overall inflation during the month was mainly brought about by Furnishings, Household Equipment and Routine Household Maintenance recorded at 6.2 percent from 6.9 percent. Food and Non-Alcoholic Beverages ranked second at 7.3 percent from 7.8 percent. Transport was the third contributor at -7.3 percent from -4.5 percent.
On the contrary, higher inflation rates were observed in the following commodity groups during the month:
a. Restaurants and Accommodation Services at 10.3 percent from 9.7 percent;
b. Personal Care, and Miscellaneous Goods and Services at 4.5 percent from 4.1 percent;
c. Alcoholic Beverages and Tobacco at 13.2 percent from 13.0 percent;
d. Recreation, Sport and Culture at 5.0 percent from 4.8 percent; and
e. Housing, Water, Electricity, Gas and Other Fuels at 11.8 percent from 11.7 percent.
On the other hand, five commodity groups have retained their previous month’s inflation rates and these were: Clothing and Footwear at 7.2 percent; Health at 5.8 percent; Education Services at 2.2 percent; Information and Communication at 1.3 percent; and Financial Services at 0.0 percent. (Table 3, Figure 2)
1.2 Main Contributors to the Provincial Inflation Rate
The top three commodity groups contributing to the June 2023 provincial inflation rate of 7.3 percent were the following:
a. Food and Non-Alcoholic Beverages with 41.7 percent share or 2.9 percentage points;
b. Housing, Water, Electricity, Gas, and Other Fuels at 44.1 percent share or 3.0 percentage points; and
c. Restaurants and Accommodation services at 7.4 percent share or 0.5 percentage point.
2. Food Inflation
Food inflation at the provincial level slowed down further to 7.2 percent in June 2023 from 7.7 percent in May 2023. In June 2022, food inflation was lower at 6.9 percent. (Tables 6 and 7)
2.1 Main Drivers to the Downward Trend of Food Inflation
The top three main drivers to the downward trend of food inflation rate of the province were the following: Meat and Other Parts of Slaughtered Land Animals at 1.0 percent in June 2023 from 8.8 percent in the previous month. This was followed by Cereals and cereal products (ND) at 4.2 percent from 6.2 percent. Vegetables, Tubers, Plantains, Cooking Bananas and Pulses ranked third at 10.0 percent from 11.9 percent in the previous month.
On the contrary, higher inflations rates were observed in the following food items:
a. Milk, Other Dairy Products, and Eggs, 8.6 percent from 6.9 percent;
b. Flour, Bread and Other Bakery Products, Pasta Products, and other Cereals, 14.6 percent from 13.5 percent;
c. Rice, 3.9 percent from 3.4 percent;
d. Ready-Made Food and Other Food Products N.E.C., 17.1 percent from 16.8 percent; and
e. Fish and Other Seafood, 5.7 percent from 0.5 percent. (Table 5)
2.2 Main Contributors to the Food Inflation
In terms of contribution to the June 2023 provincial inflation rate, food shared 38.5 percent or 2.7 percentage points. Of the food groups, the top contributors to inflation were the following:
a. Cereals and cereal products, which include rice, corn, flour, bread, and other bakery products, with 27.2 percent share or 1.96 percentage points;
b. Sugar, confectionery, and desserts with 16.6 percent share or 1.19 percentage points; and
c. Fish and other seafood (ND) with 14.6 percent share or 1.05 percentage points.
APPROVED BY:
(SGD.) ARIEL T. FORTUITO
Chief Statistical Specialist
