Table A. Year-on-Year Inflation Rates, 
for the Bottom 30% Income Household, All Items
In Percent
(2018=100)
 

A.    Zamboanga Peninsula

1.    Inflation Rate for the Bottom 30% Income Households

The inflation rate in Zamboanga Peninsula for the bottom 30% income households remained constant at a rate of 6.8 percent in July 2024. This brings the region’s average inflation from January to July 2024 to 5.5 percent. In July 2023, inflation rate posted
3.2 percent. (Table A and Figure 1)

1.1    Main Drivers Behind the Constant Trend in the Inflation Rate for the Bottom 30% Income      Households:

This month’s stable inflation rate was primarily influenced by the consistent year-on-year inflation in the index of Furnishings, Household Equipment and Routine Household Maintenance which stood at 5.4 percent inflation in both July 2024 and June 2024. Additionally, the price stability in the indices of Health at 3.2 percent; Restaurants and Accommodation Services which posted 5.6 percent; and, Financial Services with (0.2) percent also contributed to the steady overall inflation trend in the Zamboanga Penininsula.

Moreover, the following commodity groups posted higher annual increments as compared with their previous month’s inflation rates:

1)    Housing, Water, Electricity, Gas and Other Fuels at 3.7 percent from 3.2 percent;
2)    Transport, 4.8 percent from 4.0 percent;
3)    Information and Communication with 0.4 percent from 0.3 percent; 
4)    Recreation, Sport and Culture, 10.2 percent from 9.5 percent;
5)    Education Services, 7.7 percent from 7.1; and,
6)    Personal care, and Miscellaneous Goods and Services, 4.0 percent from 3.8 percent.

In contrast, lower inflation rates during the month were recorded in the categories of Food and Non-alcoholic Beverages with 8.3 percent from 8.7 percent; Alcoholic Beverages and Tobacco at 8.0 percent from 8.4 percent; and, Clothing and Footwear stood at 1.5 percent from 1.6 percent in the previous month.

2.2 Main Contributors to the Inflation Rates for the Bottom 30% Income Households:

The following commodity groups were the top three contributors to the July 2024 overall inflation for the bottom 30% income households:

1)    Food and Non-alcoholic Beverages with 75.6 percent share or 5.1 percentage points;
2)    Housing, Water, Electricity, Gas and Other Fuels with 7.1 percent share or 0.5 percentage point; and,
3)    Transport with 3.9 percent share or 0.3 percentage point.

Table B. Year-on-year Inflation Rates for the Bottom 30% Income Households 
in Zamboanga Peninsula, All items in Percent
January 2020- July 2024
(2018=100)

Inflation Rate by Commodity Group for the Bottom 30% Income Households in
ZAMBOANGA PENINSULA 2018=100
 

2. Food Inflation

The Food inflation for the bottom 30% Income Households in Zamboanga Peninsula decelerated to 8.7 percent in July 2024 from 9.0 percent in June 2024. Meanwhile, the food inflation in July 2023 was lower at 3.4 percent.

2.1 Main Drivers to the Downward Trend of the Food Inflation for the Bottom 30% Income Households

The deceleration in the food inflation was mainly due to the slower increase in the index of Cereals and Cereal Products which posted 19.3 percent from 20.7 percent. Moreover, the categories of Fish and Other Seafood (ND) and Fruits and Nuts also contributed to contributed to the downtrend which stood at (4.8) percent from (4.4) percent, and 10.9 percent from 13.2 percent, respectively.

In addition, slower increments were also observed in the indices of Sugar, Confectionery and Desserts (ND) at (7.1) percent, and Oils and Fats (ND) with (5.7) percent from their respective inflation rates at (6.4) percent and (5.5) percent in the previous month.

In contrast, the following food groups were observed to have accelerated faster during the month:

1)    Meat and other parts of slaughtered land animals (ND), 1.7 percent from 1.0 percent;
2)    Milk, other dairy products and eggs (ND) with 2.1 percent from 2.0 percent;    
3)    Vegetables, tubers, plantains, cooking bananas and pulses (ND), 6.0 percent from 4.1 percent; and,
4)    Ready-made food and other food products n.e.c. (ND) at 15.2 percent from 14.6 percent. 13.2 percent from 13.7 percent; and

2.2 Main Contributors to the Food Inflation for the Bottom 30% Income Households:

Food Inflation contributed 73.4 percent share or 5 percentage points to the July 2024 for the Bottom 30% Income Households. Among the food groups, the main contributors to the food inflation during the month were the following:

1)    Cereals and cereal products, with 70.8 percent share or 4.8 percentage points;
2)    Ready-made food and other food products n.e.c (ND) with 3.6 percent share or 0.3 percentage point; and
3)    Vegetables, tubers, plantains, cooking bananas and pulses (ND) with 3.4 percent share or 0.2 percentage point.

Among the provinces in the region, Zamboanga Sibugay had the highest inflation for the bottom 30% income households with 8.8 percent inflation, followed by Zamboanga del Sur at 7.4 percent, and Zamboanga City with 7.3 percent. The Zamboanga del Norte recorded to have the lowest inflation rate at 4.7 percent, while the City of Isabela remained constant at a rate of 6.3 percent.
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Note: CPIs and inflation rates for the bottom 30% income households by region and by province and selected city are posted at the PSA website (http://openstat.psa.gov.ph/).

MEWCHUN WS. PAMARAN
Regional Director

MFET/MGCN/kxbl