Philippines Inflation Rate Steady in October


Philippines annual inflation rate was at 0.4 percent in October of 2015, the same pace as in the previous month and below market expectations. It is the lowest figure since April 1987, as an increase in cost of transport and a slower decline in cost of housing and utilities offset a further slowdown in cost of food and non-alcoholic beverages.

Year-on-year, prices rose for: alcoholic beverages and tobacco (+3.7 percent in October from +3.6 percent in September), clothing and footwear (+2.2 percent from +2.1 percent), health (+1.7 percent from +1.5 percent) and transport (+0.1 percent from -0.3 percent). In contrast, prices declined for housing, water, electricity, gas and other fuels (-2.1 percent from -2.2 percent). while prices remained unchanged for communication, cost was steady for education (+3.6 percent) and restaurant and miscellaneous goods and services (+1.2 percent). Prices moderated for: heavily-weighted food and non-alcoholic beverages (+0.7 percent from +0.8 percent); furnishing, household equipment and routine maintenance (+1.5 percent from +1.6 percent) and recreation and culture (+0.9 percent from +1.0 percent).

From January to October 2015, inflation was 1.4 percent, below the central bank's target range of 2.0 percent to 4.0 percent for this year.

Core inflation was recorded at 1.5 percent year-on-year in October, up from 1.4 percent in September.

On a monthly basis, consumer prices increased by 0.1 percent, following a  0.2 percent drop in September. Prices rose for : food and non-alcoholic beverages (+0.1 percent), alcoholic beverages and tobacco (+0.3 percent), clothing and footwear (+0.1 percent), health (+0.2 percent) and restaurant and miscellaneous goods and services (+0.2 percent). While prices steady for furnishing, household and routine maintenance (+0.1 percent) and transport (+0.2 percent), cost remained unchanged for housing, water, electricity, gas and other fuels, communication, recreatian and culture and education.


Philippines Inflation Rate Steady in October


PSA l Rida Husna | rida@tradingeconomics.com
11/5/2015 1:57:53 AM