LESS expensive food and transportation items slowed inflation to 4.5 percent in March, according to the Philippine Statistics Authority (PSA).
In a briefing on Tuesday, National Statistician Claire Dennis S. Mapa said inflation in March was slower than the 4.7 percent posted in February. However, it was higher than the 2.5 percent posted in March last year.
Data also showed inflation averaged 4.5 percent in the January to March period. This is higher than the 2.7 percent average in the same period last year.
“Ang pangunahing dahilan ng pagbaba ng antas ng inflation nitong Marso 2021 ay ang mas mabagal na paggalaw ng presyo ng Food and Non-Alcoholic Beverages na may 91.6-percent share sa pagbaba ng presyo [The primary reason for the slowdown of inflation in March 2021 was the slower increase in prices of Food and Non-alcoholic beverages which accounted for 91.6 percent of the slowdown in prices],” Mapa said in a briefing.
PSA said the heavily-weighted food and non-alcoholic beverages posted an inflation of 5.8 percent in March 2021, slower than the 6.7 percent inflation in February 2021.
Data also showed that inflation for alcoholic beverages and tobacco averaged 12.1 percent; furnishing, household equipment and routine maintenance of the house, 1.9 percent; communication, 0.2 percent; and restaurant and miscellaneous goods and services, 3.1 percent.
Meanwhile, inflation in Metro Manila or the National Capital Region slowed to 3.7 percent in March 2021 from 4.1 percent in February 2021. In March 2020, inflation in the area was noted at 1.7 percent.
Inflation in NCR was pushed down by the slower annual uptick in food and non-alcoholic beverages index at 5.7 percent in March 2021.
Slower inflation was also recorded in alcoholic beverages and tobacco, 10.6 percent; clothing and footwear, 0.7 percent; housing, water, electricity, gas, and other fuels, 0.3 percent; furnishing, household equipment and routine maintenance of the house, 0.9 percent; and communication, 0.1 percent.
However, higher inflation was observed in health at 2.9 percent; transport, 16.3 percent; and restaurant and miscellaneous goods and services, 1.1 percent.
The other commodity groups, namely, recreation and culture, and education moved at their previous month’s annual rates of -0.4 percent and 0.5 percent, respectively.
Non-NCR areas
Meanwhile, inflation in Areas Outside NCR (AONCR) slowed down to 4.7 percent in March 2021 from 4.8 percent in the previous month. Inflation in the area in March 2020 was posted at 2.7 percent.
The slower inflation in AONCR was due to the lower annual rate of increase in the index of the heavily-weighted food and non-alcoholic beverages at 5.9 percent during the month.
The increase in prices also slowed down in furnishing, household equipment and routine maintenance of the house at 2.2 percent and communication, 0.3 percent.
However, the transport index posted a double-digit annual rate of 13.1 percent during the month, from 9.7 percent in the previous month.
Higher price increases were also observed in housing, water, electricity, gas, and other fuels at 1.2 percent; and health, 3 percent.
The annual decline in the recreation and culture index at -0.7 percent was also lower during the month, from its annual drop of -0.8 percent in the previous month.
Image credits: Bernard Testa
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