Philippines' Inflation Unchanged in May at 4.5 %
The Philippines’ headline inflation in May 2021 remained at 4.5 percent, which was the level of inflation of the country since March 2021. In May 2020, inflation was lower at 2.1 percent. The country’s average headline inflation from January to May 2021 was posted at 4.4 percent.
There were mixed movements in the annual growth rates in the indices of the commodity groups in May 2021.
The annual growth rates in the indices of the following commodity groups moved up at faster pace in May 2021:
Clothing and footwear, 1.7 percent;
Housing, water, electricity, gas, and other fuels, 1.9 percent;
Furnishing, household equipment and routine maintenance of the house, 2.5 percent;
Health, 3.2 percent; and
Restaurant and miscellaneous goods and services, 3.8 percent.
Meanwhile, inflation decelerated further in the indices of food and non-alcoholic beverages at 4.6 percent; and alcoholic beverages and tobacco, 11.8 percent. Likewise, the double-digit annual hike in the index of transport slowed down to 16.5 percent during the month.
The rest of the commodity groups remained at their previous month’s annual growth rates.
Excluding selected food and energy items, core inflation in May 2021 was posted at 3.3 percent, which was the same annual rate recorded in the previous month. In the same month of the previous year, core inflation was lower at 2.9 percent.
At the country level, inflation for food index eased further to 4.9 percent in May 2021, from 5.0 percent in the previous month. In May 2020, inflation for food index was noted at 2.9 percent.
Downtrends were still observed in the indices of rice and vegetables as their annual rates correspondingly declined further to -0.8 percent and -6.6 percent. Similarly, the annual rate went down in the index of fruit at -1.1 percent during the month.
Meanwhile, annual increments were higher in the indices of the following food groups:
Corn, 5.1 percent;
Fish, 7.8 percent;
Oils and fats, 4.0 percent;
Sugar, jam, honey, chocolate and confectionery, 0.9 percent; and
Food products not elsewhere classified, 1.2 percent.
The same annual growth rates from the previous month were recorded in the indices of other cereals, flour, cereal preparation, bread, pasta, and other bakery products at 1.8 percent; meat, 22.1 percent; and milk, cheese, and egg at 1.4 percent.