QUEZON CITY (PIA) — The National Economic and Development Authority (NEDA) has expressed confidence that the government’s 2024 inflation rate target will be achieved, given the slow rate at 1.9 percent in September and the unemployment downtrend settling at four percent.
From January to September, the year-to-date inflation was at 3.4 percent and the unemployment downtrend at four percent, buoyed by the gradual strengthening of the tourism sector.
“If you would recall, we expected an inflation average between two and four percent, and we are confident that we can hit that target this year,” said NEDA’s Usec. Rosemarie Edillon in an interview on Bagong Pilipinas Ngayon aired on PTV 4 on Oct. 11, 2024.
Edillon also said that the government has put in place measures, mainly focusing on food.
“To ensure this, President Ferdinand R. Marcos Jr., way back in 2023, created an interagency committee on inflation and market output,” said Edillion.
For instance, we created subcommittees on food and non-food items to monitor the trend both in the local and global economies to anticipate possible interventions in response to developments.
“So far, the mechanism works. When the African Swine Flu struck, the vaccination response was swift. It’s like we have a direct line to the president. Regular meetings are conducted, and we list down possible recommendations that need to be prioritized,” she said.
All these measures have reaped positive effect; importation increased, and local food production has improved as well, she added.
Alongside slow inflation, the unemployment rate has gone down to four percent, mainly buoyed by the revival of tourism, which created jobs in services and accommodation, restaurants, and arts and entertainment.
“Also, in the other sectors, such as wholesale and retail trade, the increase in their activities has helped in increasing employment, which in turn has also helped drive down inflation,” Edillon said.
As inflation eases, consumers are confident to spend, and as demand increases, there is a corresponding rise in the number of jobs, she added. (PIA DMD)
