Inflation remains unchanged at 6.7% in October

According to PSA, slowdowns in the annual increments were seen in the indices of food and non-alcoholic beverages which is at 9.4 percent from the 9.7 percent last month. (Pixabay file photo)

The rise in the price of goods and services, or inflation, did not even change a bit as it remained steady at 6.7 percent in October, the Philippine Statistics Authority (PSA) reported on Tuesday, November 6.

This figure was the same with the inflation rate recorded in the previous month.

The Bangko Sentral ng Pilipinas (BSP) earlier projected the inflation this month to settle between 6.2 to seven percent, while the Department of Finance (DOF) expected inflation to ease at 6.5 percent in October.

According to PSA, slowdowns in the annual increments were seen in the indices of food and non-alcoholic beverages which is at 9.4 percent from the 9.7 percent last month, and alcoholic beverages and tobacco at 21.6 percent from September’s 21.8 percent.

Higher annual increases, it said, were observed in the indices of the following commodity groups: housing, water, electricity gas, and other fuels (4.8 percent); furnishing, household equipment and routine maintenance of the house (3.7 percent); health (4.3 percent); transport (8.8 percent); recreation and culture (3.1 percent), and restaurant and miscellaneous goods and services (4.2 percent).

Moreover, inflation in the National Capital Region (NCR) slowed down to 6.1 percent compared to the 6.3 percent recorded in the previous month.

Inflation in areas outside NCR, meanwhile, stayed at 6.8 percent in October. Bicol region remained to be the region with the highest inflation rate of 9.9 percent, while Central Luzon still recorded the lowest inflation rate of 4.4 percent.

BSP Governor Nestor Espenilla, in his statement, said the October inflation data “supports the view that inflation pressures are finally moderating,” believing that there is a “significant deceleration” even though October’s inflation rate remains elevated.

He added that the Monetary Board will also take into account the data, including gross domestic product (GDP) in its next policy meeting as it determines if further policy rate adjustment is needed.