PHL inflation rises to 6.4 percent in July, highest recorded since Oct. 2018



But PSA notes inflation in NCR slowed down to 5.1 percent

(File photo) In this photo taken on July 22, 2018, residential (L) and informal settlers (R) areas are pictured against the backdrop of Manila’s financial district of Makati. (Photo by TED ALJIBE / AFP)

 

(Eagle News) — The country’s inflation rose to 6.4 percent in July, the highest recorded since October 2018, with the growth in the food index as the main driver of inflation, Philippine Statistics Authority (PSA) said on Friday, August 5.

But at the same time, the PSA noted that the inflation in Metro Manila slowed down in July to 5.1 percent. This was down from the 5.6 percent in June 2022.

The PSA said the this “deceleration of inflation” in the National Capital Region (NCR) for July was due to the “lower annual increase in the housing, water, electricity, gas and other fuels index at 3.6 percent.”

“Lower annual hikes were also observed in the indices of health at 1.3 percent; and personal care, and miscellaneous goods and services at 2.0 percent.”

Still, the PSA said that the “annual headline inflation continued its uptrend” last July, from 6.1 percent in June this year.

“With this month’s inflation, the Philippines’ average inflation from January to July 2022 stood at 4.7 percent. In July 2021, inflation rate was lower at 3.7 percent,” the PSA observed.

National Statistician and Civil Registrar General Undersecretary Dennis Mapa said that the main drivers of the upward trend of the July 2022 inflation was the “higher annual growth rate in the index for food and non-alcoholic beverages at 6.9 percent.”

Last June, it was just at 6 percent. The transport index also rose to 18.1 percent annual growth from the 17.1 percent in June 2022.

Food inflation increased at the national level to 7.1 percent in July 2022, from 6.4 percent in June.

-Food items that drove inflation in July-

Here are the food items that contributed to the increase in inflation last July:
-fish and other seafood – 9.2 percent;
-meat and other parts of slaughtered animals – 9.9 percent;
-sugar, confectionery and desserts -17.6 percent

-Inflation slowed down for vegetables, tubers, bananas-

But vegetables, tubers, plantains, cooking bananas and pulses registered lower inflation of 5.6 percent.

A vendor waits for customers in Quiapo in Manila on August 5, 2022. (Photo by JAM STA ROSA / AFP)

-Higher inflation in areas outside NCR-

There was higherm however, inflation outside the Metro Manila.

It was “similar to the trend at the national level.” The inflation in areas outside NCR (AONCR) “continued to move at a higher rate of 6.8 percent in July 2022,” the PSA said.

“The acceleration of inflation in AONCR in July 2022 was primarily due to the higher annual growths in the food and non-alcoholic beverages index, at 7.0 percent; and transport index, at 18.2 percent,” it added.

(Eagle News Service)



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