Ilocos Region logs 8.2% inflation, Pangasinan at 8.9%

By January 15, 2023Business

THE inflation rate throughout the Ilocos Region was pegged at 8.2-percent last December 2022, or 0.1% higher than the Philippine’s national average, according to the Philippine Statistics Authority (PSA).

The spike from November 2022 was only 7.7 percent. Inflation refers to the rate of increase in prices over a given period of time.

In a statement issued by Atty. Sheila de Guzman, PSA Ilocos Regional Director, the accelerated inflation is attributed mostly to consumption of personal and basic necessities.

Price increases were seen in rice, milk, and other dairy products, along with eggs, vegetables, tubers, cooked bananas and pulses, sugar, confectionery and desserts, ready-made food, and other food products.

Meanwhile, food index for corn, flour, bread and other pastry products, cereal products, meat, seafoods, cooking oil, and fruits have decreased.

Among the provinces in Region I that contributed to the high inflation rate, Ilocos Sur leads with 10.3 percent, followed by Ilocos Norte at 8.9 percent, Pangasinan at 8.5 percent, while La Union with 1.9 percent inflation rate.

De Guzman said the uptick in the inflation rate is due to the increase in purchase of goods and services, which has been on a roll since COVID-19 restrictions have been relaxed.

The PSA said price increases in the region were influenced by food and non-alcoholic beverages consumption at 9.9 percent, transport at 9.8 percent, and health at 7.5 percent.

Other factors such as alcoholic beverages and tobacco at 5.8 percent, furnishings, household equipment and routine household maintenance at 5.5 percent, recreation, sport and culture at 3.6 percent, and restaurants and accommodation services at 3.3 percent also contributed to the uptick of the inflation rate in the region.

However, clothing and footwear went down by 3.9 percent; housing, water, electricity, gas and other fuels went down by 11 percent, and personal care plus miscellaneous goods also went down by 6.0 percent.

While slow and steady levels of inflation is typically good for economy it signifies an increase in growth and economic activities, accelerated while uncontrolled inflation would prove detrimental since this could result in lower purchasing power, higher interest rates, slower economic growth, and other negative economic impacts. (Ahikam Pasion)

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