Central Visayas inflation eases to 4.5% in July

AFP PHOTO [INQUIRER FILE PHOTO]

CEBU CITY, Philippines — Inflation in Central Visayas dropped to 4.5 percent in July 2024, down from 4.8 percent in June, according to the Philippine Statistics Authority in Central Visayas (PSA-7).

PSA-7 regional director Ariel Florendo reported that the decline was mainly due to lower prices for housing, utilities, and fuels, which fell to 0.3 percent in July from 2.7 percent in June.

Transportation costs also decreased, with inflation in this sector dropping to 2 percent in July from 2.2 percent in June. Additionally, prices for restaurants and accommodation services decreased to 3.9 percent in July from 4.1 percent in June.

Despite these decreases, food and non-alcoholic beverages remained the largest contributor to regional inflation, with an 8.6 percent inflation rate, accounting for 72.9 percent of the overall inflation in July 2024.

PSA-7 data shows that food inflation in Central Visayas rose to 9.1 percent in July 2024, up from 8.0 percent in June. Significant price increases were seen in corn (27.7 percent from 18.0 percent), pork (8.4 percent from 7.3 percent), and bananas (5.8 percent from 3.9 percent).

READ: Central Visayas inflation rate rises from 3.2 to 4.0% in May 2024

However, some food groups saw slower price increases, including rice (19.4 percent from 20.3 percent), flour and cereals (3.5 percent from 4.9 percent), and milk and eggs (2.3 percent from 2.8 percent). Price decreases were recorded in fish and seafood (-2.9 percent from -5.1 percent) and in oils and fats (0.5 percent from 0.7 percent).

Sugar and desserts, especially ice cream, saw no change, remaining at -5.4 percent inflation.

Florendo noted that the overall inflation rate has decreased compared to the previous month, indicating better purchasing power for consumers.

“It has lowered compared to the previous month. I think the impact [sa] inflationary pressure will be ease and better ang consumer. Better ang confidence sa consumer and business sector,” he said.

The headline inflation rate for July settled at 4.4 percent which was already forecasted by the Bagko Sentral ng Pilipinas (BSP) and the government targets inflation to settle between 2 and 4 percent for 2024.

But the central bank said any upward price pressures in July were likely offset by lower prices of rice and fruits, along with the peso’s appreciation away from the record-low of 59 per dollar.

“Higher electricity rates along with the increased prices for agricultural commodities like vegetables, meat and fruits along with higher domestic oil prices are the primary sources of upward price pressures for the month [of July],” the BSP said. /with reports from Inquirer.net

/clorenciana