Summary Inflation Report Consumer Price Index (2018=100) September 2023

Headline Inflation

For the month of September 2023. inflation rate in the Province of Dinagat Islands hit back to 5.5 percent higher by 0.5 percentage points in August 2023 which was recorded at 5.0 percent. It was also significantly lower by 3.9 percentage points compared to last year’s IR of the same month at 9.4 percent. The average inflation rate from January to September for the year was recorded at 6.3 percent. This was slightly lower than the national average and higher by 0.4 percentage points than the regional average inflation rates posted at 6.6 percent and 5.9 percent, respectively (Table A and Figure 1).

Top Contributor to the Month-on-Month Inflation Trend

The increasing inflation rate during the month can primarily be traced to the surging average price indices for the Food and Non-alcoholic Beverages group. It recorded an inflation rate of 5.9 percent and accounted for about 83.3 percent share of the uptrend of the provincial inflation during the reference month. Specifically, the rising average price for cereals (i.e. Rice) with an inflation rate of 17.9 percent, and vegetables, tubers, plantains, cooking bananas, and pulses (ND) with an inflation rate of 29.6 percent and shared about 42.2 percent and 23.2 percent, respectively to the uptrend of the food group (Tables B and C).

Other commodity groups showing increases in the average price indices include;

• Alcoholic Beverages and Tobacco at 7.9 percent from 4.6 percent;
• Furnishings, household equipment, and routine household maintenance at 7.7 percent from 7.5 percent; 
• Health at 1.1 percent from 0.6 percent;
• Information and Communication at (2.3) percent from (2.5) percent; and
• Personal Care, and Miscellaneous Goods and Services at 5.8 percent from 5.0 percent.

On the other hand, the following commodity groups have decreasing price indices for this month, to wit;

• Clothing and Footwear at 4.6 percent from 4.7 percent;
• Housing, Water, Electricity, Gas and Other Fuels at 10.6 percent from 11.5 percent;
• Transport at (1.8) percent from (1.7) percent;
• Recreation, Sport, and Culture at 5.9 percent from 6.4 percent;
• Education Services at (0.3) percent from 0.0 percent; and
• Restaurants and Accommodation Services at 2.0 percent from 3.7 percent;

Meanwhile, indices for Financial Services have remained the same compared to the previous month.

Food Index

Food inflation continued to rise for this month from 4.6 percent in August 2023 to 6.2 percent this month though this was still lower by 3.9 percentage points compared to September 2022.

The five main contributors to the decreasing food index vis a vis August 2023 price indices were the following, to wit (Table D).

1. Rice recorded an inflation rate of 12.4 percent from 6.0 percent in August 2023 and this shared about 89.7 percent to the uptrend of the Food group.

2. Fish and other seafood (ND) recorded an inflation rate of 8.2 percent from 7.5 percent in August 2023. This added about 5.9 percent to the uptrend;

3. Meat and other parts of slaughtered land animals (ND) recorded an inflation rate of (4.6) percent from (5.7) percent in August 2023. This added about 4.1 percent to the uptrend;

4. Fruits and nuts (ND) has an inflation rate of 4.0 percent higher than 3.9 percent in August 2023. This commodity shared about 0.2 percent of the uptrend of the food group.

Purchasing Power of Peso

With the continuous increase in the inflation rate during the month, the Purchasing Power of the Peso (PPP) for the Province of Dinagat Islands was pegged at Php 0.75. This was lower than last year of the same month’s value of Php 0.79.

(Sgd.)GLENNBOY C. LISTON, D.M.
Chief Statistical Specialist