Eastern Visayas posts 1.9% Inflation Rate in October 2020

Reference Number: 

PR-202012-0800-44

Release Date: 

Monday, December 7, 2020

Inflation rate (IR) in Eastern Visayas inched up to 1.9 percent in October 2020 from 1.8 percent in September 2020.  This figure is 2.6 percentage points higher compared with the 0.7 percent deflation recorded in October 2019.

The regional IR is 0.6 percentage point lower than the 2.5 percent national average.

Among provinces, only Biliran exhibited higher IR in October 2020 compared with its IR the previous month. From  1.3 percent deflation in September 2020, it accelerated  to 1.1 percent for the period in review. 

Samar IR decreased by 1.6 percentage points from 5.2 percent in September 2020 to 3.6 percent in October 2020.  However, this is the highest IR among provinces in the region.  The IR of Northern Samar and Eastern Samar declined to 3.3 percent and 1.4 percent, respectively. Southern Leyte and Leyte retained their previous month’s IR at 3.1 percent and 1.3 percent, respectively. 

The increase in IR in October 2020 was attributed to the over-all increase in the inflation of non-food items at 1.8 percent compared with the 1.2 percent IR in September 2020.  The index for housing, water, electricity, gas and other fuels commodity group moved up by 1.5 percentage points at 0.8 percent in October 2020 from a deflation of 0.7 percent in September 2020.  This was attributed to the continued  deflation but at a slower rate of electricity, gas and other fuels from 6.8  percent deflation in September 2020 to 2.6 percent deflation in October 2020.  The index for the maintenance and repair of dwelling also increased to 1.6 percent in October 2020 from 1.5 percent in September 2020.

The IR of transport commodity group posted at 3.1 percent in October 2020 was 0.4 percentage point higher compared with the 2.7 percent in September 2020.  This was due to the 1.4 percentage points mark up in the index of transport services from 6.1 percent in September 2020 to 7.5 percent in October 2020.  

Furnishings, household equipment and routine maintenance of the house registered a 3.0 percent IR in October 2020 or 0.3 percentage point higher than the 2.7 percent in September 2020.  This was triggered by the increases in the indices for household appliances (4.2 percent) and goods and services for routine household maintenance (2.9 percent) in October 2020. 

Recreation and culture commodity group continued to post deflation but at a slower rate of 1.8 percent in October 2020.  This can be traced to the IR of other major durables for recreation and culture (-3.7 percent) and the increase in the index of audio-visual, photographic and information processing equipment (0.8 percent) in October 2020.

On the other hand, decreases were noted in the indices of four (4) other commodity groups.   Food and non-alcoholic beverages commodity group declined by 0.5 percentage point, from 2.2 percent in September 2020 to 1.7 percent in October 2020.   Contributing largely to the decrease was the index for fruits which dropped from a double-digit growth rate of 14.1 percent in September 2020 to 8.0 percent in October 2020.  Also, lower indices for corn (0.5 percent) and vegetables (4.8 percent) were recorded in October 2020 while index for fish declined from 1.2 percent to 0.6 percent deflation, for the month in review.        

Compared with their levels in September 2020, lower IRs were recorded  for restaurant and miscellaneous goods and services (4.3 percent), clothing and footwear (2.9 percent), and  alcoholic beverages and tobacco (7.5 percent). 

Health and education commodity groups retained their previous month’s IR at 1.0 percent and 0.4 percent, respectively; while that for communication commodity group remained at 1.7 percent deflation for the past three months. 

The Purchasing Power of Peso (PPP) of the region remained at P0.79 in October 2020.  This PPP implies that the goods and services worth P79.00 in 2012 is worth P100.00 in October 2020.

 
WILMA A. PERANTE
Regional Director

 

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