Iloilo Inflation Slows but Remains Among Highest in Philippines

Inflation in Iloilo province and Iloilo City declined in February 2025 but remained among the highest in the country, according to an analysis by the Institute of Contemporary Economics (ICE) using data from the Philippine Statistics Authority (PSA).

Iloilo province recorded an inflation rate of 4.5% in February, down from 5.4% in January, while Iloilo City’s inflation fell to 3.7% from 5.1% in the previous month. The national average inflation rate stood at 2.1%.

Despite the decline, Iloilo province ranked fourth among provinces with the highest inflation, behind Pampanga (5.0%), Cagayan (4.9%), and Batanes (4.7%).

Iloilo City posted the highest inflation rate among highly urbanized cities (HUCs), surpassing Angeles City, which led in January. The National Capital Region (NCR) recorded a collective inflation rate of 2.3%.

Annual Inflation Trends (March 2024 – February 2025)

• Iloilo province (excluding Iloilo City) had a higher inflation rate compared to the national average throughout the year.
• Inflation in Iloilo province peaked at over 5.5% in late 2024 before gradually declining to 4.5% in February 2025.
• Iloilo City followed a similar trend but remained slightly lower than the province, with a high of around 5.1% in early 2025 before dropping to 3.7% in February.
• The national inflation rate remained relatively stable, fluctuating between 2% and 4%, eventually settling at 2.1% in February 2025.

Top 20 LGUs with Highest Inflation

• Iloilo province ranked 4th nationwide in inflation (4.5%), trailing Pampanga (5.0%), Cagayan (4.9%), and Batanes (4.7%).
• Iloilo City, at 3.7%, recorded the highest inflation among highly urbanized cities (HUCs) in the country, surpassing Angeles City.
• Other Western Visayas LGUs such as Bacolod (3.3%) and Cebu (3.4%) had lower inflation rates.

Inflation Across Western Visayas (February 2025)

• Iloilo province recorded the highest inflation in the region at 4.5%, far above the national average (2.1%).
• Iloilo City followed with 3.7%, still above the Philippine average.
• Negros Occidental (2.0%), Capiz (2.7%), Aklan (1.4%), and Guimaras (0.6%) had significantly lower inflation rates.
• Antique recorded no inflationary movement (0.0%), indicating a stable price level over the year.

Key Takeaways

• Iloilo remains one of the most inflation-affected areas in the Philippines, with both the city and province seeing higher-than-average inflation.
• While inflation has declined from its peak levels, the cost of goods and services remains elevated.
• The disparity between Iloilo and neighboring provinces suggests localized economic pressures, possibly due to supply chain disruptions, demand fluctuations, or sector-specific inflationary pressures.
• The decline in inflation suggests easing price pressures in essential commodities, but persistent risks remain.

ICE attributed the decline in Iloilo’s inflation to slower price increases in food, housing, water, electricity, and gas. However, prices of alcoholic beverages, tobacco, household furnishings, and health services saw slight increases.

Despite easing inflation, Iloilo’s cost of living remains among the highest in the country, impacting households and businesses in the region.