Date Released: June 5, 2009
SUMMARY INFLATION REPORT
CONSUMER PRICE INDEX
(2000=100)
MAY AND APRIL 2009
Year-on-Year Inflation Rates, All Items |
|||
| May | Apr | Year-to-date | |
| Philippines | |||
| Headline | 3.3 | 4.8 | 5.7 |
| Core | 4.4 | 5.0 | 5.7 |
| NCR | |||
| Headline | 0.8 | 2.2 | 3.1 |
| AONCR | |||
| Headline | 4.2 | 5.8 | 6.8 |
The national year-on-year headline inflation rate continued to decelerate at 3.3 percent in May from 4.8 percent in April as lower rates were observed in all the commodity groups. The May rate is the lowest since November 2007. Inflation a year ago was 9.5 percent.
Excluding selected food and energy items, core inflation further eased to 4.4 percent in May from 5.0 percent in April.
Inflation rate in the National Capital Region (NCR) likewise went down by 1.4 percentage points to 0.8 percent in May from 2.2 percent in April due to the negative annual rates posted in fuel, light and water (FLW) and services index. The slower annual inflation rate for food, beverages and tobacco (FBT) and miscellaneous index also contributed to the downtrend while those for the rest of the commodity groups remained at their last month’s rates.
The same trend was seen in the annual inflation rate in Areas Outside the National Capital Region (AONCR) as it moved at a slower pace of 4.2 percent in May from 5.8 percent in April. It was caused by the slowdowns in the annual price hikes of all the commodity groups except in the housing and repairs (H&R) group.
Consumer prices generally went down by -0.1 percent in May from 0.5 percent in April. This was mainly effected by the downward adjustments in electricity rates and price rollbacks in LPG, kerosene, diesel and gasoline. The decline in the price of meat along with the slowdowns in the price increments of other commodity groups also contributed to the downward trend.
The annual inflation rate in NCR further went down to 0.8 percent in May from 2.2 percent in April.
Year-on-year inflation in AONCR also slid to 4.2 percent in May from 5.8 percent in April. All the regions registered slower annual inflation rates with Zamboanga Peninsula recording the biggest decrease of 4.5 percentage points (3.6% from 8.1%). The lowest annual rate of 2.2 percent was noted in MIMAROPA while the highest was posted in Eastern Visayas at 8.1 percent.
Annual rates of price increases in all the commodity groups improved during the month. Annual inflation in FLW index further dropped to -4.9 percent from -2.4 percent. Similarly, the year-on-year inflation in FBT index moved down to 5.9 percent in May from 8.0 percent in April; clothing, 2.6 percent from 2.8 percent; H&R, 3.1 percent from 3.2 percent; services, 0.4 percent from 1.7 percent; and miscellaneous items, 2.9 percent from 3.0 percent.
On an annual basis, inflation rate for food alone was still on a downward trend as it settled at 6.0 percent in May from 8.2 percent in April.
The annual price gain in rice slipped to 8.4 percent from 14.9 percent; corn, 7.9 percent from 15.6 percent; cereal preparations, 8.3 percent from 9.9 percent; dairy products; 7.1 percent from 7.6 percent; fruits and vegetables, 6.1 percent from 7.5 percent; meat, 3.8 percent from 5.6 percent; and miscellaneous foods, 3.9 percent from 5.1 percent. Meanwhile, inflation for eggs and fish were correspondingly higher at 7.6 percent and 5.8 percent from their respective last month’s rates of 7.1 percent and 5.7 percent.
In NCR, negative annual rates of price adjustments were respectively noticed in FLW and services index at -3.7 percent and -4.3 percent in May from their corresponding April rates of 0.3 percent and -2.3 percent. In addition, annual rates for FBT and miscellaneous items index slowed down to 3.7 percent and 2.4 percent from their respective previous month’s rates of 5.2 percent and 2.5 percent. Annual inflation for clothing and H&R index were at their respective last month’s rates of 1.4 percent and 2.9 percent.
Inflation for food alone in NCR further slid to 3.7 percent in May from 5.2 percent in April.
Lower annual price increments were noticed in rice at 0.9 percent in May from 4.5 percent; cereal preparations, 7.5 percent from 8.9 percent; dairy products, 6.1 percent from 6.7 percent; fruits and vegetables, 5.9 percent from 8.4 percent; meat, 1.9 percent from 3.4 percent; and miscellaneous food items, 4.7 percent from 6.2 percent. On the other hand, the annual growth in eggs and fish index correspondingly rose to 8.0 percent and 0.1 percent from 7.5 percent and -0.8 percent, respectively. The annual price hike in corn was still posted at its last month’s rate of 0.2 percent.
In AONCR, inflation for FLW index continued to register a negative rate of 5.6 percent in May from -3.9 percent in April. In addition, inflation for FBT index eased to 6.5 percent from 8.9 percent; clothing, 3.1 percent from 3.3 percent; services, 3.2 percent from 4.2 percent; and miscellaneous items, 3.0 percent from 3.1 percent. The annual inflation for H&R was at its previous month’s rate of 3.3 percent.
Annual inflation for food alone in AONCR also moved at a slower pace of 6.7 percent in May from 9.2 percent in April.
Measured from a year ago, a lower price gain was observed in rice at 9.6 percent in May from 16.5 percent in April. All regions recorded slower annual rates with Zamboanga Peninsula having the biggest deceleration of 22.2 percentage points (2.7% from 24.9%).
Moreover, slower annual increments were posted in the price of corn at 8.0 percent from 15.9 percent; cereal preparations, 8.6 percent from 10.3 percent; dairy products, 7.5 percent from 7.9 percent; fish, 7.0 percent from 7.2 percent; fruits and vegetables, 6.2 percent from 7.2 percent; meat, 4.7 percent from 6.5 percent; and miscellaneous food items, 3.6 percent from 4.7 percent.
A higher annual price movement was noted in eggs at 7.5 percent from 7.0 percent.
Consumer prices in NCR generally improved as the index moved by -0.3 percent in May from 1.1 percent in April. This was effected by the downward price adjustments correspondingly observed in FLW and services items at -3.7 percent and -0.1 percent from 6.1 percent and 1.7 percent, respectively. Moreover, price uptick in clothing and miscellaneous items went down to 0.1 percent from 0.2 percent. Meanwhile, FBT items retained its last month’s rate of 0.3 percent while prices of H&R items remained stable as its group’s index had a zero growth from 0.1 percent.
Prices in AONCR also slowed to 0.1 percent in May from 0.2 percent in April due to the price reductions in FLW items at -0.8 percent from 0.1 percent last month. Slower price hike in clothing items at 0.1 percent from 0.2 percent was also noticed during the month. On the other hand, prices of H&R items inched up to 0.4 percent from zero. FBT and miscellaneous items retained their corresponding last month’s price add-ons of 0.1 percent and 0.2 percent while those of services items remained stable as the group’s index had a zero growth from 0.8 percent.
Slower month-on-month inflation rates were observed in five regions. The lowest monthly rate was registered in Caraga at -0.2 percent while the highest rate of 0.3 percent was in Cagayan Valley.
Of the three large islands of the country, Luzon and Mindanao showed bigger price decreases during the period.
On a monthly basis, consumer prices at the national level declined by -0.1 percent in May from 0.5 percent in April. This was brought about by the decrease in the prices of FLW items at -1.9 percent from 2.2 percent. Slower monthly price increases posted in clothing and miscellaneous items at 0.1 percent from 0.2 percent also contributed to downtrend. Price gain in H&R items was however higher at 0.2 percent from 0.1 percent. Prices of FBT items moved up at 0.1 percent, the same rate seen last month while those for services items remained stable as it had a zero growth.
Sufficient supply of chicken in the markets pushed down its prices during the month. The weakening demand for pork and pork products arising from swine flu and ebola virus scare also brought down prices of pork in the markets in NCR and selected regions in AONCR. Likewise, declines in the prices of beef in some regions were noticed during the month. All these factors contributed to the downward trend in the meat index in the three areas: Philippines, -0.3 percent from 0.1 percent; NCR, -0.9 percent from -0.1 percent; and AONCR, -0.1 percent from 0.2 percent.
The generally favorable weather conditions that prevailed during the month led to good production of corn in some regions in Mindanao that resulted to its ample supply in the markets. Hence, the corn index in AONCR and in the Philippines eased to 0.2 percent from 0.8 percent. Meanwhile, the price of corn in NCR appeared stable as the group’s index in the area recorded a zero growth.
The rise in the prices of flour and flour products in selected regions brought the index of cereal preparations in the three areas to move by 0.1 percent. But this was slower than their last month’s respective rates.
With the upward adjustments in the prices of milk and milk products in many regions including NCR, the dairy products index in the Philippines grew by 0.2 percent; NCR, 0.1 percent; and AONCR, 0.3 percent.
The two typhoons that hit the country in early May affected the major agricultural production areas in Luzon thereby triggering price mark ups particularly, for vegetables. Price hikes in off-season fruits were also observed in selected regions. Thus, the index for fruits and vegetables accelerated in the three areas: Philippines, 1.5 percent from -0.6 percent; NCR, 5.6 percent from 0.8 percent; and AONCR, 0.4 percent from -1.0 percent.
The FLW index in AONCR decelerated by -0.8 percent as reduction in the prices of LPG and kerosene were seen during the month. Lower electricity charges were also noted in some regions. Similarly, declines in generation, transmission and system loss charges in electricity rates in NCR pushed down its group’s index by -3.7 percent. Overall, the national index also decreased by -1.9 percent.
With the series of price roll backs in diesel and gasoline, movement in the services index in NCR dropped to -0.1. The decline in the prices of these petroleum products were also felt in some regions in AONCR. However, price increases on selected school supplies and higher medical charges and services were also registered during the month. Thus, this mixed price trends resulted to a generally stable index for services in AONCR and in the Philippines.
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: June 5, 2009
Month-on-Month Inflation Rates, All Items |
||
| May | Apr | |
| Philippines | -0.1 | 0.5 |
| NCR | -0.3 | 1.1 |
| AONCR | 0.1 | 0.2 |
CONSUMER PRICE INDEX
(2000=100)
MAY 2009
By Region, Year-on-Year
By Commodity Group, Year-on-Year
By Region, Month-on-Month
By Commodity Group, Month-on-Month