Eastern Visayas Records 4.3% Inflation Surge in December 2023, Driven by Food Price Spikes

 

In December 2023, Eastern Visayas experienced a 4.3 percent inflation rate, marking an upturn after two consecutive months of deceleration, according to the Philippine Statistics Authority (PSA).

This rate surpassed the 3.5 percent recorded in November and the four percent recorded in October.

The surge in the regional inflation rate during December 2023 was mainly attributed to the elevated prices of food and non-alcoholic beverages.

The inflation rate for the food index rose to 8.7 percent in December 2023, an increase from eight percent the previous month.

PSA Eastern Visayas regional director Wilma Perante explained, "The increase in the inflation rate for food during the period was primarily influenced by the accelerated inflation rate for rice, reaching 20.5 percent in the month compared to 15 percent in November 2023. This was followed by fruits and nuts. Higher inflation rates were also observed in milk, other dairy products, eggs, and corn."

Contributing to the upward trend were also the higher adjustments in prices for furnishings, household equipment, routine household maintenance, and health services.

In the last month of 2023, four out of the region’s six provinces recorded higher inflation rates. Eastern Samar's inflation rate decreased to 5.2 percent from 6.4 percent month-on-month, while Southern Leyte maintained its rate at 2.4 percent over the past two months.

Among the provinces, Samar posted the highest rate at 6.6 percent, followed by Leyte at 4 percent, Biliran at 4 percent, and Northern Samar at 3.3 percent.

Tacloban, the sole highly urbanized city in the region, recorded an inflation rate of 3.6 percent in December, an increase from its 2.5 percent rate a month earlier.

It's important to note that the inflation rate represents the annual rate of change or the year-on-year changes in the consumer price index, indicating the speed of price changes over two time periods (year-on-year).

Contrary to common understanding, Perante clarified that low inflation does not necessarily imply decreasing commodity prices; rather, it signifies that prices are continuing to increase, albeit at a slower rate. (PNA)