Date Released: February 5, 2009
SUMMARY INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
JANUARY2009 AND DECEMBER 2008
Year-on-Year Inflation Rates, All Items |
|||
| Jan 2009 | December 2008 | Year-to-date | |
| Philippines | |||
| Headline | 7.1 | 8.0 | 7.1 |
| Core | 6.9 | 7.3 | 6.9 |
| NCR | |||
| Headline | 4.3 | 4.5 | 4.3 |
| AONCR | |||
| Headline | 8.3 | 9.6 | 8.3 |
The continued negative annual growth recorded in the fuel, light and water (FLW) index along with deceleration in the annual price increments of all the other commodity groups further pushed down the country’s year-on-year headline inflation rate to 7.1 percent in January from 8.0 percent in December 2008. Inflation a year ago was 4.9 percent.
The annual inflation rate in the National Capital Region (NCR) likewise further eased to 4.3 percent in January from 4.5 percent in December due to the negative annual price adjustments in the FLW and services index and the slowing down in the annual growth rates of clothing and miscellaneous items index.
Annual price movements in Areas Outside the National Capital Region (AONCR) also decelerated as its annual inflation rate further slid to 8.3 percent in January from 9.6 percent in December. This was attributed to the negative annual growth rate posted in the FLW index together with the downward annual price increases in all the other commodity groups.
Excluding selected food and energy items, core inflation further slipped to 6.9 percent in January from 7.3 percent in December.
Month-on-Month Inflation Rates, All Items
Jan 2009 Dec 2008 Philippines 0.3 -0.9 NCR 0.5 -1.3 AONCR 0.2 -0.8 The general upward adjustments in the prices of the heavily weighted food items raised the overall month-on-month inflation to 0.3 percent in January from -0.9 percent in December. Price increases in clothing items and higher rental rates registered in selected regions including NCR also contributed to the uptrend.
The annual inflation rate in NCR further slowed down to 4.3 percent in January from 4.5 percent in December.
Similarly, the annual inflation rate in AONCR also improved to 8.3 percent in January from 9.6 percent in December due to the continued deceleration in the annual growth rates registered in all the regions except for Bicol. The biggest slowdown of 2.4 percentage points was seen in Zamboanga Peninsula (9.0% from 11.4%). The lowest annual inflation in January at 6.1 percent was still noted in CALABARZON while Eastern Visayas still posted the highest inflation rate at 12.7 percent.
On an annual basis, prices of FLW items further declined as its annual rate was recorded at -3.8 percent in January from -1.7 percent in December. Slower annual price hikes in all the other commodity groups were also noted during the month: food, beverages and tobacco (12.2% from 12.7%); clothing (4.3% from 5.0%); housing and repairs (4.3% from 5.3%); services (3.2% from 4.6%); and miscellaneous items (3.6% from 3.9%).
The annual inflation rate for food alone in the Philippines further moved at a slower pace of 12.7 percent in January from 13.3 percent in December.
The annual price gain in rice continued to ease at 28.5 percent in January from 28.7 percent in December; corn, 24.9 percent from 26.3 percent; cereal preparations, 16.6 percent from 18.6 percent; dairy products, 11.1 percent from 11.9 percent; fish, 8.8 percent from 9.0 percent; and fruits and vegetables, 3.0 percent from 7.0 percent. Higher annual price increment was however posted in eggs at 6.0 percent from 5.7 percent; meat, 9.6 percent from 9.1 percent; and miscellaneous foods, 8.3 percent from 8.0 percent.
In NCR, annual rates of price adjustments in the FLW and services index correspondingly dropped by -1.3 percent and -0.2 percent in January from 0.6 percent and 1.6 percent, respectively. Moreover, annual inflation rates for the clothing and miscellaneous items index eased to 3.9 percent and 2.7 percent, respectively from their corresponding last month’s rates of 5.5 percent ad 2.9 percent. On the other hand, annual inflation for food, beverages and tobacco (FBT) and housing and repairs (H&R) items were higher at 9.1 percent and 4.0 percent from their respective rates of 8.2 percent and 3.3 percent.
Inflation rate for food alone in NCR rose to 9.4 percent in January from 8.4 percent in December.
The annual price increase in rice was higher at 28.3 percent in January from 27.0 percent in December; eggs, 2.2 percent from -1.2 percent; meat, 7.8 percent from 6.3 percent; and miscellaneous foods, 8.4 percent from 5.4 percent. Meanwhile, the annual price adjustment in fruits and vegetables further dropped to -0.9 percent from-0.5 percent. A slower annual price increment was also noticed in corn at 0.2 percent from 0.7 percent; cereal preparations, 15.8 percent from 18.1 percent; dairy products, 9.9 percent from 10.9 percent; and fish, 5.3 percent from 6.1 percent.
In AONCR, the annual movement in the FLW index further declined to -5.1 percent in January from -2.8 percent in December. Moreover, improved annual inflation rate was posted in the FBT index at 13.1 percent from 14.2 percent; clothing, 4.4 percent from 4.8 percent; H&R, 4.6 percent from 6.7 percent; services, 5.1 percent from 6.3 percent; and miscellaneous items, 3.9 percent from 4.2 percent.
Measured from a year ago, prices of food alone items in AONCR further moved downward to 13.7 percent in January from 14.8 percent in December as all the food groups registered slower annual rates of price hikes.
The annual price increment in rice continued to decelerate at 28.6 percent in January from 28.9 percent in December. Eight regions recorded lower annual rates with ARMM posting the biggest slowdown of 7.3 percentage points (26.4% from 33.7%).
The corn index’s annual inflation also eased to 25.3 percent in January from 26.7 percent in December; cereal preparations, 16.9 percent from 18.8 percent; dairy products, 11.7 percent from 12.4 percent; eggs, 7.2 percent from 7.9 percent; fish, 9.5 percent from 9.6 percent; fruits and vegetables, 4.2 percent from 9.3 percent; meat, 10.2 percent from 10.3 percent; and miscellaneous foods, 8.3 percent from 9.2 percent.
From a negative monthly rate of 1.3 percent in December, prices in NCR generally picked up to 0.5 percent in January. A higher rate of price gain was noted in the FBT index at 1.6 percent in January from 0.5 percent in December; clothing, 0.1 percent from zero growth; and H&R, 0.8 percent from 0.1 percent. On the other hand, price addition in miscellaneous items index slowed to 0.1 percent from 0.2 percent. Price reductions in the FLW and services items index were also noticed at -0.8 percent and -1.2 percent, respectively from their corresponding previous month’s rates of -6.6 percent and -3.4 percent.
Prices in AONCR similarly went up to 0.2 percent in January from -0.8 percent in December due to the 0.8 percent growth rate in the heavily weighted FBT items. Upward adjustments in the prices of clothing and miscellaneous items index remained at 0.2 percent and H&R items, 0.1 percent. On the other hand, prices of FLW and services items correspondingly went down by -1.5 percent and -0.8 percent from their respective last month’s rates of -5.6 percent and -1.8 percent.
Eleven regions showed higher monthly price increments during the month with Bicol registering the biggest monthly growth of 1.1 percent.
Compared to Luzon and Mindanao areas, price increases were higher in Visayas.
Higher prices of the heavily weighted FBT items at 1.0 percent from zero growth primarily pushed up the overall consumer prices by 0.3 percent in January from -0.9 percent in December. Higher upward adjustments also recorded In H&R items at 0.4 percent from 0.1 percent also contributed to the uptrend. Price uptick in clothing and miscellaneous items remained at 0.2 percent. Meanwhile, negative growth rates were still posted in FLW and services index at -1.2 percent and -0.9 percent, respectively from their corresponding last month’s rates of -5.9 percent and -2.4 percent.
Some deep sea fishes continued to be expensive as the stormy weather at the Southern Philippines and the cold mornings limited fishing efforts, thus supply of fish in the markets became low. The shift of consumer preference from meat to fish after the holiday seasons also contributed to higher prices in the markets. All these factors raised the fish index in the Philippines and AONCR by 3.2 percent and 3.0 percent, respectively from their corresponding last month’s growth rates of 1.1 percent and 0.5 percent. In NCR, the price increase in its fish index remained at 3.9 percent.
Price hikes in tea, coffee, powdered tonic drink and meals eaten outside the home in NCR pushed its miscellaneous foods index by 3.1 percent from -0.1 percent. Likewise, the national index also grew by 0.9 percent from -0.2 percent. On the other hand, the miscellaneous foods index in AONCR remained stable during the month as it recorded a zero growth from -0.2 percent.
The meat index on NCR rose to 1.6 percent. This can be attributed to bigger demand for pork and beef with the celebration of the Chinese New Year and fiestas in selected areas of the metropolis during the month. Likewise, higher prices of fresh and processed meat and meat products in many regions pulled up the group’s index in AONCR and in the Philippines by 1.0 percent and 1.2 percent, respectively. Price gains in canned meat in many regions including NCR were also observed.
With nine regions posting higher monthly growth rates, the rice index in AONCR went up by 0.5 percent from -1.0 percent. Likewise, prices of rice in NCR and at the national level also picked up by 1.0 percent and 0.5 percent, respectively from their last month’s rates of -0.4 percent and -0.9 percent. The biggest increase of 4.2 percent in the group’s index was noted in Bicol.
The fruits and vegetables index in AONCR went down by -0.4 percent primarily due to the reductions in the prices of vegetables in selected regions. The group’s index in NCR also fell by -1.2 percent as prices of fresh fruits in the markets declined during the month. Thus, the national index dropped by -0.6 percent.
Increased prices of selected construction materials along with higher rental rates recorded in selected regions including NCR pulled up the H&R index in the Philippines by 0.4 percent; NCR, 0.8 percent; AONCR, 0.1 percent.
Upward adjustments in the prices of selected household furnishings and equipment and some items for household operations and personal care and effects posted in selected regions including NCR caused the miscellaneous items index in the Philippines and AONCR to move up by 0.2 percent and NCR, 0.1 percent.
The clothing index in the Philippines and AONCR climbed by 0.2 percent and in NCR, 0.1 percent due to higher prices of selected ready-made apparel and footwear.
The general downward price adjustments in gasoline and diesel primarily pushed down the services index in the three areas: Philippines, -0.9 percent; NCR, -1.2 percent; and AONCR, -0.8 percent.
Despite of the higher prices of LPG in NCR, the FLW index in the area dropped by -0.8 percent brought about by lower electricity rates and price decline in kerosene. Similarly, the FLW index in the Philippines and AONCR also went down by -1.2 percent and -1.5 percent, respectively due to the decreases in the prices of kerosene and LPG in all the regions. Lower electricity rates observed in selected regions also contributed to the downtrend.
CONSUMER PRICE INDEX
(2000=100)
JANUARY 2009By Region, Year-on-Year
By Commodity Group, Year-on-Year
By Region, Month-on-Month
By Commodity Group, Month-on-Month
NOTE: CPIs and inflation rates by province and selected city are also available upon request at NSO, Industry and Trade Statistics Department, Economic Indices and Indicators Division (Telephone Numbers: 716-39-35 and 715-33-47).
(Sgd.) CARMELITA N. ERICTA
Administrator
Source: National Statistics Office
Manila, Philippines
Page last updated: February, 2009