CALAMBA CITY (PIA) – Food and rental prices drove the monthly average inflation rate in the CALABARZON region to 3.3 percent in December 2024, slightly up from 2.7 percent rate in November 2024 according to the Philippine Statistics Authority IV-A.
PSA IV-A Regional Director Charito Armonia said that prices for dining services like restaurants and cafés contributed 16.3 percent to the inflation rate in December, followed by rentals at 13.2 percent, tomato at 8.6 percent, Liquified Petroleum Gas or LPG at 7.7 percent, and rice at 6.2 percent.
Major commodity groups that posted higher inflation in December compared to November include food and non-alcoholic beverages with 4.5 percent; housing, water, electricity, gas, and other fuels at 2.6 percent; recreation, sports, and culture at 2.0 percent, and personal care, and miscellaneous goods and services at 2.7 percent.
On the other hand, some indicators posted lower inflation rates in December compared from previous month with alcoholic beverages and tobacco at 2.2 percent; clothing and footwear at 5.8 percent, and restaurants and accommodation services at 4.7 percent.
Meanwhile, prices of furnishings, household equipment and routine household maintenance at 3.0 percent; health at 2.7 percent, information and communication at -0.1 percent, education services at 5.9 percent, and financial services at -1.8 percent remained constant during the final two months of 2024.
According to PSA IV-A, inflation refers to the increase or decrease in the prices of goods compared to their prices during the same month of the previous year.
It involves a year-long comparison of the rate of increase or decrease of goods typically purchased by common households.
PSA explained that the goods and services commonly purchased by households reflect the spending habits, preferences of consumers, and their geographical location.
“Each region has its own ‘market basket’. If an area produces more, we can expect prices not to rise as much. However, if an area is affected by natural disasters and calamities, we can anticipate variations in inflation across different regions,” Armonia explained.
Aside from the inflation rate, PSA said that they compute the purchasing power of the peso to determine the value and understand the cost of goods at present and compared five years ago. (PB/PIA-4A)
