A. Caraga

1.    Headline Inflation

Headline Inflation in Caraga Drops to 1.1 Percent in February 2025

The headline inflation rate for all income households in the Caraga region continued to decline, reaching 1.1 percent in February 2025, down from 1.4 percent in January 2025. In comparison, the inflation rate was significantly higher at 2.7 percent in February 2024. (Refer to Table A, Table B, and Figure 1 for more details.)

Among the 13 commodity groups, the Food and Non-Alcoholic Beverages category played a key role in the overall decline in inflation for February 2025. The average price change in this category fell to -0.2 percent, down from 0.6 percent in January 2025. This commodity group holds a substantial 73.9 percent share in driving the overall inflation trend. 

Other commodity groups that showed a slowdown in inflation include:

A.    Transport: -0.6 percent down from 0.6 percent in the previous month;
B.    Information and communication: 0.8 percent, down from 1.1 percent; 
C.    Personal Care, and Miscellaneous Goods and Services: 2.9 percent, down from 3.0 percent; and
D.    Health: 1.4 percent, down from 1.5 percent. 

On the other hand, higher annual growth rates were observed in the indices of the following commodity groups during the month:

A.    Alcoholic Beverages and Tobacco, 6.1 percent from 4.9 percent;
B.    Clothing and Footwear, 2.0 percent from 1.8 percent; 
C.    Housing, Water, Electricity, Gas and Other Fuels, 4.2 percent from 3.3 percent; 
D.    Furnishings, Household Equipment and Routine Household Maintenance, 1.7 percent from 1.5 percent;
E.    Recreation, Sport and Culture, 3.9 percent from 3.5 percent; and
F.    Restaurants and Accommodation Services, 0.8 percent from 0.7 percent.

Meanwhile, commodity groups that exhibited consistent rates were noted in the following:

A.    Education Services, at 1.9 percent; and
B.    Financial Services, at 0.0 percent.

2.    Food Inflation

Regional Food Prices Fall: Inflation Hits to -0.5 percent in February 2025

Food inflation for all income households in the Caraga region dropped to -0.5 percent in February 2025 down from 0.5 percent in January 2025. This marks a significant decline compared to February 2024, when food inflation stood at 6.3 percent.

The decline in food inflation in Caraga for February 2025 was primarily driven by significant reductions in the inflation rates of key food categories:

A.    Cereals and Cereal Products: The year-on-year growth rate in this category further dropped to -5.0 percent this month from -1.8 percent in January 2025. Rice and corn indices showed a sharp decline to -6.4 percent and -6.5 percent from -2.8 percent and -1.6 percent respectively;
B.    Vegetables, tubers, plantains, cooking bananas and pulses: Inflation in this food group declined to -0.1 percent in February 2025, down from 4.2 percent in January 2025. The significant drop in the price indices of certain vegetables, particularly tomatoes, was a key driver of this decrease;
C.    Milk, other dairy products and eggs: This group’s inflation dropped to 4.6 percent this month from 4.8 percent in the previous month. The decrease in the price indices for certain products, particularly eggs, contributed to this slowdown in inflation; and
D.    Flour, Bread and Other Bakery Products, Pasta Products, and Other Cereals: Inflation in this food group declined to 2.2 percent in February 2025 from 2.4 percent in January 2025. The decrease in the price indices of certain breads, like pandesal mainly contributed to the decreased inflation.

On the contrary, increased inflation was recorded during the month in the indices of the following food groups:

A.    Meat and other parts of slaughtered land animals, 6.4 percent from 4.7 percent;
B.    Fish and other seafood, -2.7 percent from -4.0 percent;
C.    Oils and fats, 9.3 percent from 7.2 percent;
D.    Fruits and nuts, 6.1 percent from 5.6 percent; 
E.    Sugar, confectionery and desserts, -0.4 percent from -4.1 percent; and
F.    Ready-made food and other food products n.e.c., 4.5 percent from 4.0 percent. 

B.     Provinces and Highly Urbanized City (HUC)

In February 2025, inflation trends across the Caraga region exhibited variation among its five provinces and one Highly Urbanized City (HUC). Most of the provinces recorded a decline in inflation including Agusan del Sur, Surigao del Norte, Surigao del Sur and Dinagat Islands. Meanwhile, Butuan City (HUC) was the only area to register an increase in inflation, rising from 0.0 percent in January 2025 to 1.1 percent in February 2025. In contrast, Agusan del Norte maintained its inflation rate at 1.1 percent, unchanged from the previous month. (Refer to Table A.)

Note:
CPIs and inflation rates by province and selected city are posted on the PSA website (http://openstat.psa.gov.ph/).

(Sgd.) GUILLERMO M. LIPIO, JR.
(Chief Statistical Specialist)
Officer-In-Charge
PSA RSSO XIII

TECHNICAL NOTES

The Philippine Statistics Authority generates and announces the monthly Consumer Price Index (CPI) based on the nationwide survey of prices for a given basket of goods and services. Two important indicators, the inflation rate and purchasing power of the peso (PPP), are derived from the CPI which are important in monitoring price stability and the value of the country’s currency.

The Consumer Price Index (CPI) is an indicator of the change in the average retail prices of a fixed basket of goods and services commonly purchased by households relative to a base year. It shows how much, on average, the prices of goods and services have increased or decreased from a particular reference period known as the base year.

Inflation Rate refers to the rate of change in the average prices of goods and services typically purchased by consumers. It is interpreted in terms of declining purchasing power of money.

Disinflation refers to a situation where the general level of prices is increasing but at a decreasing rate.

Deflation refers to a situation where the general level of prices is falling, and the rate is below zero percent.

The Purchasing Power of the Peso (PPP) indicates the value of the peso in the period under review as compared to the value of the peso in the base period. It is computed as the reciprocal of the CPI for the period under review multiplied by 100.

Statistical Table refers to the statistical data presenting a reference table for the CPI, and Inflation Rate of each commodity group and food items that are used for attachments.