
By Dean Aubrey Caratiquet
With a brief lull in Middle East tensions that have crippled global trade passing through the Strait of Hormuz, which drove pump prices down, the Philippine Statistics Authority (PSA) reported that this development led to a downward trend of the country’s headline inflation rate.
In a press conference on Tuesday, National Statistician Claire Dennis Mapa reported that this metric of the nation’s economy eased to 6.4% in June from 6.8% in May.
Among the factors cited by the PSA in its latest report on the country’s economic progress were the slower annual increase in the following commodity groups:
- Transport index (12.8%, down from 16.2% in May)
- Food and non-alcoholic beverages (5.2%, down from 5.7% in May)
- Furnishings, household equipment, and routine household maintenance (3.7%, down from 3.9% in May)
The figures released by the agency were likewise attributable to a slower annual increase of food inflation in June at 5.4%—lower than the 5.8% recorded in May.
Meanwhile, the Department of Economy, Planning, and Development (DEPDev) welcomed this development as an indicator that the government’s efforts to help Filipino families navigate the repercussions of various domestic and international geopolitical challenges.
DEPDev Secretary Arsenio Balisacan said in a statement, “Every percentage point drop in inflation matters to Filipino families. It means household budgets can go further, especially for poor families who spend a large share of their income on food and transportation.”
The nation’s chief economist concluded by reassuring the citizenry of the administration’s relentless pursuit of interventions to further stabilize the food supply chain amid the prolonged El Niño phenomenon that is affecting the livelihoods of farmers nationwide.
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