Philippines Records Slight Increase in Inflation for April 2024

Inflation in the Philippines saw a marginal uptick in April 2024, with the headline inflation climbing to 3.8 percent from 3.7 percent in March 2024. Despite this increase, the national average inflation from January to April 2024 settled at 3.4 percent, showing a slight decrease from the same period in 2023 when inflation stood higher at 6.6 percent.

The rise in overall inflation was primarily influenced by a higher year-on-year increase in food and non-alcoholic beverages, which saw a growth rate of 6.0 percent in April 2024 compared to 5.6 percent in the previous month. Additionally, the transport index contributed to the uptrend, recording a 2.6 percent annual growth rate in April 2024.

However, several commodity groups experienced lower inflation rates during the same period, including alcoholic beverages and tobacco, housing, health, recreation, restaurants and accommodation services, and personal care, among others.

Food inflation also experienced an uptick, rising to 6.3 percent in April 2024 from 5.7 percent in March 2024. This increase was mainly driven by the rise in the vegetables, tubers, plantains, cooking bananas, and pulses index, along with other food products not elsewhere classified.

Core inflation, excluding selected food and energy items, slowed down to 3.2 percent in April 2024 from 3.4 percent in the previous month, but remained significantly lower than the 7.9 percent recorded in April 2023.

In the National Capital Region (NCR), inflation decelerated to 2.8 percent in April 2024 from 3.3 percent in March 2024. Similarly, Areas Outside NCR (AONCR) witnessed an uptrend in inflation, rising to 4.1 percent in April 2024 from 3.8 percent in March 2024.

Despite the overall increase in inflation, regional disparities persisted, with the Bangsamoro Autonomous Region in Muslim Mindanao recording the highest inflation rate at 6.3 percent, while Region I (Ilocos Region) registered the lowest at 2.4 percent.

The data, released by the Philippine Statistics Authority, indicates a nuanced picture of inflationary pressures within the country, reflecting both regional variations and specific sectoral dynamics.