WV posts 3rd lowest inflation rate in PHL in January 2024

By Mariela Angella Oladive

Western Visayas recorded the third lowest inflation rate among the 17 regions in the Philippines in January 2024, registering a 2.0 percent rate, according to data released by the Philippine Statistics Authority (PSA). This figure represents a significant decrease from the 3.2 percent rate in December 2023.

The latest inflation rate in the region is the lowest since November 2019, when the monthly inflation rate was 1.3 percent. By comparison, January 2023 experienced a notably higher inflation rate of 10.3 percent.

“The decline in headline inflation for January 2024 was primarily due to a slower annual increase in the index for Food and Non-Alcoholic Beverages—a commodity group that accounts for about 43 percent of the average household budget in the region—which rose by 4.2 percent in January 2024, down from 7.0 percent in December 2023,” said PSA Regional Statistical Services Office Region VI OIC-Regional Director Nelida Amolar during a press conference on February 16.

Other commodity groups that contributed to the downward trend in inflation rates included Alcoholic Beverages and Tobacco, Furnishings, Household Equipment, and Routine Household Maintenance, Health, Transport, Information and Communication, Recreation, Sport, and Culture, Restaurants and Accommodation Services, Financial Services, and Personal Care, and Miscellaneous Goods and Services.

Food inflation in the region also decreased significantly, slowing to 4.3 percent in January 2024 from 7.3 percent in the previous month. This deceleration in food inflation was due to a slower annual increase in indices for Fish and Other Seafood, Vegetables, Tubers, Plantains, Cooking Bananas, and Pulses, as well as Meat and Other Parts of Slaughtered Land Animals.

Additionally, inflation rates for the Bottom 30% Income Households in Western Visayas decelerated, falling to 2.6 percent in January 2024 from 4.1 percent in December 2023. This suggests a positive trend in terms of affordability for lower-income households in the region.

Conversely, a faster annual rise was observed in the index for Clothing and Footwear, with a 3.2 percent inflation rate in January 2024 compared to 2.8 percent in the prior month. Certain food groups, such as Cereals and Cereal Products, and Fruits and Nuts also saw higher inflation rates.

All six provinces in Western Visayas reported a slowdown in inflation rates for January 2024 when compared to December 2023. Guimaras posted the highest monthly inflation rate at 4.6 percent, while Iloilo recorded the lowest at 1.2 percent. The highly urbanized cities of Iloilo and Bacolod also experienced easing inflation rates, at -1.1 percent and 2.5 percent, respectively.

Overall, the latest data suggests a positive economic trend in Western Visayas, with lower inflation rates contributing to improved affordability for consumers across various commodity groups. However, the PSA noted that overall prices are still significantly higher compared to pre-pandemic levels in 2018.