Inflation rate in Eastern Visayas increases to 3.5% in August 2021

By PSA-8
October 1, 2021

TACLOBAN CITY – Inflation Rate (IR) in Eastern Visayas increased to 3.5 percent in August 2021, the highest in the region of the last 12 months. This IR is 0.3 percentage point higher compared with the 3.2 percent IR in July 2021. This August IR of the region is also 1.2 percentage points higher than the recorded 2.3 percent IR in the same period last year.

In comparison with the national average IR, the regional IR is still lower by 1.4 percentage points than the 4.9 percent national IR in August 2021.

Among the provinces, Eastern Samar posted the highest IR at 6.3 percent in August 2021. Samar’s IR came next at 6.0 percent, then Biliran at 5.4 percent. The lowest IR was noted in Leyte at 2.2 percent. Biliran, Northern Samar, Leyte, and Eastern Samar registered higher IRs in August 2021 compared with their figures in July 2021.

Biliran and Northern Samar recorded the highest increase in IR both at 0.9 percentage point. Biliran grew to 5.4 percent in August 2021 from 4.5 percent in July 2021. Northern Samar went up to 2.4 percent in August 2021 from 1.5 percent in July 2021. Leyte’s IR increased to 2.2 percent in August 2021, recording 0.5 percentage point growth from its 1.7 percent IR in July 2021. IR in Eastern Samar inched up by 0.2 percentage point pushing its IR to 6.3 percent in August 2021.

On the other hand, the provinces of Samar and Southern Leyte recorded decreases in their IRs in August 2021 by 0.9 percentage point and 0.1 percentage point, respectively. Samar declined to 6.0 percent in August 2021 from 6.9 percent in July 2021. Southern Leyte eased to 2.8 percent in August 2021 from 2.9 percent in July 2021.

Transport commodity group continued to post the highest IR at 9.3 percent. This was followed with the IR of alcoholic beverages and tobacco commodity group (7.1%), and housing, water, electricity, gas and other fuels commodity group (5.1%). All the other commodity groups have IR lower than the IR for all items recorded at 3.5 percent.

Majority of the 11 commodity groups in the region exhibited lower IRs in August 2021 compared with their rates in August 2021. However, these were offset by the higher IRs recorded in three (3) commodity groups, which resulted to 0.3 percentage point increase in the overall IR of the region in August 2021.

The transport commodity group and furnishings, household equipment, and routine maintenance of the house commodity group both registered the biggest decrease in IR by 1.0 percentage point. Transport commodity group settled at 9.3 percent in August from its double-digit IR of 10.3 percent in July 2021, while IR for furnishings, household equipment, and routine maintenance of the house commodity group declined to 1.4 percent in August 2021 from 2.4 percent in July 2021.

The IRs for the commodity groups of restaurants and miscellaneous goods and services, and health both managed to shed off 0.8 percentage point from their IRs in July 2021 registering 1.7 percent and 1.2 percent IRs, respectively, in August 2021.

Compared with their July 2021 levels, IRs for clothing and footwear commodity group (1.7%) and alcoholic beverages commodity group (7.1%) were lower by 0.5 percentage point and 0.2 percentage point, respectively in August 2021. Communication commodity group’s IR eased by 0.1 percentage point settling at 0.9 percent in August 2021.

On the other hand, housing, water, electricity, gas and other fuels commodity group recorded 5.1 percent IR in August 2021, higher by 1.5 percentage points from its 3.6 percent IR in July 2021. This growth can be attributed to higher IR in the indices for electricity, gas, and other fuels (15.1%) and water supply and miscellaneous services relating to the dwelling (0.9%).

Food and non-alcoholic beverages commodity group registered a 0.7 percentage point increase in IR, from 2.6 percent in July 2021 to 3.3 percent in August 2021. Lower IRs and deflations were noted in majority of the items under this commodity group. Fruits index registered the highest decrease of 0.9 percentage point, from 2.6 percent IR in July 2021 to 1.7 percent IR in August 2021.

The IR for non-alcoholic beverages declined by 0.4 percentage point from its 0.6 percent IR in July 2021, posting 0.2 percent IR in August 2021. Slower price increases were also noted in the indices for food products not elsewhere classified (2.8%) and oils and fats (1.9%). Corn, rice, and bread and cereals further deflated to 1.7 percent, 1.6 percent, and 1.2 percent, respectively in August 2021. However, these decreases were offset by the increases registered in four (4) food items. Vegetables index registered the highest increase in IR at 3.0 percentage points, from 1.6 percent in July 2021 to 4.6 percent in August 2021.

IR for fish index registered 2.6 percentage points increase posting a double-digit IR of 10.1 percent in August 2021. Meat index continued to register double-digit IR at 11.6 percent in August 2021, higher by 1.3 percentage points from its 10.3 percent IR in July 2021. Higher price increases were also noted in the index for sugar, jam, honey, chocolate, and confectionery at 2.0 percent. Milk, cheese, and eggs retained its previous month’s IR at 1.3 percent.

The commodity group for recreation and culture, which registered a 1.6 percent deflation in July 2021 recorded price increases in August 2021 at 1.7 percent.

The Purchasing Power of Peso (PPP) of the region remained at P0.76 in August 2021. This PPP implies that the goods and services worth P76.00 in 2012 are now worth P100.00 in August 2021.

Compared with their levels in July 2021, PPP in Biliran and Northern Samar weakened by P0.01. The rest of the provinces retained their previous month’s PPP. Biliran and Leyte recorded the strongest PPP among provinces in August 2021 at P0.79. Southern Leyte ranked second at P0.78, followed by, Eastern Samar at P0.73, and Northern Samar at P0.71. Samar posted the weakest PPP during the reference month at P0.69.