Central Visayas’ November inflation rate drops to 2.3 percent

Local

THE inflation rate in Central Visayas fell to 2.3 percent in November 2024, a decrease from October’s 2.9 percent.

This is according to Engr. Leopoldo P. Alfanta, Jr., Chief Statistical Specialist of the Philippine Statistics Authority (PSA) in Central Visayas, during an information dissemination event on Tuesday, December 10.

This latest figure also reflects a significant improvement compared to the 3.8 percent recorded in November 2023, bringing the regional average inflation rate for January to November of this year to 3.2 percent.

Alfanta said the decline in regional inflation was primarily driven by slower annual price increases in key sectors.

Housing, water, electricity, gas, and other fuels recorded a 1.1 percent inflation rate in November, down from 3.7 percent in October.

Additionally, food and non-alcoholic beverages also saw a deceleration, with inflation dropping to 4.0 percent in November from 4.4 percent the previous month.

Other commodity groups contributing to the downward trend included alcoholic beverages and tobacco, which posted a slower annual increment of 3.2 percent from 3.5 percent.

Clothing and footwear inflation eased to 0.7 percent from 1.2 percent, while health services slowed to 2.5 percent from 2.7 percent.

Alfanta also noted declines in recreation, sport, and culture (1.1 percent from 1.5 percent) and restaurants and accommodation services (0.5 percent from 0.8 percent).

However, Alfanta pointed out that some groups registered faster inflation rates. Furnishings, household equipment, and routine household maintenance experienced a sharp increase, climbing to 4.6 percent from 1.2 percent.

Personal care and miscellaneous goods and services also rose, recording a 2.4 percent inflation rate compared to 2.1 percent in October.

Meanwhile, the transport index, though still declining, showed a slower annual drop of 2.1 percent compared to the 2.6 percent decrease recorded in October.

According to Alfanta, the top contributors to the region’s 2.3 percent inflation rate in November were food and non-alcoholic beverages, which accounted for 69.6 percent of the total or 1.6 percentage points.

Housing, water, electricity, gas, and other fuels contributed 11.8 percent or 0.3 percentage points, while furnishings, household equipment, and routine household maintenance accounted for 6.8 percent or 0.2 percentage points.

Food inflation at the regional level also slowed to 4.2 percent in November from 4.6 percent in October.

Alfanta attributed this to the slower year-on-year increase in rice prices, which dropped to 5.1 percent in November from 8.8 percent in October.

Fruits and nuts also contributed to the decline, recording a 5.3 percent inflation rate in November compared to 12.6 percent the previous month. Milk, other dairy products, and eggs followed a similar trend, with inflation easing to 2.6 percent from 4.6 percent.

Despite these improvements, some food groups recorded faster inflation rates. Corn prices increased by 21.0 percent in November, up from 18.1 percent in October, while vegetables posted a sharp rebound with a 6.4 percent inflation rate after a 3.0 percent decline the previous month.

Alfanta emphasized that while the overall trend is encouraging, certain areas require close monitoring to sustain the region’s economic stability.

The PSA’s data on year-on-year inflation rates from January 2020 to November 2024 reveals that November 2024’s 2.3 percent inflation rate is the lowest recorded for the month since 2020.

This figure is a marked improvement from 8.3 percent in November 2022 and 3.8 percent in November 2023. The average inflation rate for 2024, at 3.2 percent, reflects a significant decline compared to 6.6 percent in 2022 and 5.1 percent in 2023.(MyTVCebu)