Davao Region hits 7.1% inflation rate

Davao region has hit a 7.1% inflation rate in August 2018, from 6.2% last July, topping the Philippines’ national inflation average for the same period.

The data, provided by the Bangko Sentral ng Pilipinas, revealed that country’s inflation rate accelerated to 6.4% in August, the fastest in nearly 10 years.

Data from the Philippine Statistics Authority  showed that  from May until August this year, Davao region has the highest inflation rate as compared to the national average.

In the August 2018 data, Davao Region is behind from other regions in the country that has a higher inflation rate compared to the national average, namely Bicol (9%), Autonomous Region in Muslim Mindanao (8.1%), Soccsksargen (7.9%), Western Visayas (7.4%), Cagayan Valley (7.1% – tied with Davao Region), National Capital Region (7%), and Ilocos Region (6.8%).

Common contributors to the inflation in August, according to PSA, are attributed to electricity, gas, and fuels, fish, rice, personal transport, vegetables and meat.

While in the Davao region, alcoholic beverages and tobacco are the top commodities based on the monthly consumer price with 161.9 in August 2018, up by 0.9 from the previous month. Same goes with the national level, wherein it had a 191.6, from 190.9 in the previous month.

Aside from alcoholic beverages and tobacco, other combined commodity groups such as food and non-alcoholic beverages, clothing and footwear, housing, water, electricity, gas, and other fuels, furnishing, household equipment and routine maintenance of the house, health, transport, communication, recreation and culture, education and lastly, restaurant and miscellaneous goods and services are considered under the market basket.

In a joint statement of the Economic Development Cluster comprised of agencies such as the Department of Finance, Department of Budget and Management, the National Economic Development and Authority, Department of Trade and Industry, Department of Agriculture, Department of Justice, Bangko Sentral ng Pilipinas, Bureau of the Treasury and the National Food Authority, reforms in agriculture are continuously be implemented in addressing the supply issues causing the rise in food prices.