Eastern Visayas

The Inflation Rate (IR) in Eastern Visayas further slowed down to 0.4 percent in May 2025 from 0.6 percent in April 2025. This is the lowest IR since the 1.4 percent annual decline in October 2019. This brings the region’s average IR from January to May 2025 to 0.9 percent. The regional IR was lower than the 1.3 percent national IR in May 2025. Moreover, the regional IR in May 2024 was higher at 3.6 percent (Table 1 and 2).

Main Drivers to the Downward Trend of the Regional Inflation

The downtrend of the regional IR in May 2025 was primarily brought about by the faster annual price decrease of the heavily weighted food and non-alcoholic beverages commodity group at 0.7 percent in May 2025 from its annual price drop of 0.5 percent in April 2025. The faster annual price decrease of the transport commodity group at 2.8 percent in May 2025 from its annual price decline of 2.4 percent in the previous month also contributed to the downtrend of the regional IR. Moreover, the slower IR of housing, water, electricity, gas and other fuels commodity group at 3.4 percent in May 2025, from 3.5 percent in April 2025 likewise contributed to the overall decrease of the regional IR.

In addition, slower IRs were recorded in the following commodity groups:

a. Restaurants and accommodation services, 0.8 percent from 0.9 percent;
b. Clothing and footwear, 0.7 percent from 0.8 percent;
c. Information and communication, 0.2 percent from 0.3 percent; and
d. Alcoholic beverages and tobacco, 3.6 percent from 3.7 percent.

In contrast, higher IRs were registered in the commodity groups of health and recreation, sport and culture at 2.1 percent and 1.8 percent in May 2025 from 1.7 percent and 1.6 percent in April 2025, respectively.

Meanwhile, the following commodity groups retained their previous month’s IRs:

a. Furnishings, household equipment and routine household maintenance, 1.2 percent;
b. Education services, 8.2 percent; and
c. Personal care, and miscellaneous goods and services, 1.6 percent.

The IR for financial services remained at zero percent during the month (Table 3).

Main Contributors to the Regional Inflation

The top three commodity groups that contributed to the May 2025 regional IR were the following:

a. Housing, water, electricity, gas and other fuels, with 136.5 percent share or 0.55 percentage point;
b. Alcoholic beverages and tobacco with 21.6 percent share or 0.09 percentage point; and
c. Education services with 20.0 percent share or 0.08 percentage point.

Food Inflation

The food index registered faster annual price decrease of 0.9 percent in May 2025 from its annual price drop of 0.6 percent in April 2025. In May 2024, food index recorded 6.5 percent IR (Table 3).

The faster annual price drop for food in May 2025 was primarily influenced by the faster annual price decrease of rice at 14.3 percent in May 2025 from its annual price decrease of 11.9 percent in April 2025. The slower IR of vegetables, tubers, plantains, cooking bananas and pulses at 8.4 percent in May 2025, from 9.5 percent in April 2025, likewise contributed to the faster annual price decrease of the food index. Moreover, the slower IR of ready-made food and other food products not-elsewhere-classified at 3.3 percent in May 2025 from 4.2 percent in April 2025 also contributed to the downtrend of the food index.

In addition, slower IRs were recorded in the following food groups:

a. Meat and other parts of slaughtered land animals, 6.6 percent from 6.8 percent;
b. Fruits and nuts, 2.7 percent from 3.1 percent; and
c. Flour, bread and other bakery products, pasta products, and other cereals, 1.4 percent from 1.6 percent.

Furthermore, sugar, confectionery and desserts recorded faster annual price decrease at 0.7 percent in May 2025 from its annual price drop of 0.3 percent in April 2025.

In contrast, faster IRs were registered in the following food groups:

a. Corn, 2.7 percent from 2.4 percent;
b. Fish and other seafood, 6.9 percent from 4.3 percent;
c. Milk, other dairy products and eggs, 3.7 percent from 2.6 percent; and
d. Oils and fats, 0.4 percent from 0.2 percent.

Main Contributors to the Food Inflation

The annual price decrease in food pulled down the overall regional IR in May 2025 by -99.6 percent or -0.40 percentage point. The food groups with the highest contribution to the annual price decrease of food during the month were the following:

a. Cereals and cereal products, which includes rice, corn, flour, bread and other bakery products, pasta products, and other cereals, with 443.7 percent share or -3.99 percentage point; and
b. Sugar, confectionary and desserts, with 2.0 percent share or -0.02 percentage point.

Inflation Rate by Region

In comparison with their IRs in April 2025, 10 regions recorded lower IRs in May 2025, seven (7) regions recorded higher IRs, and one (1) region retained its previous month’s IR. Eastern Visayas’ IR at 0.4 percent ranked fifth among the regions with low IRs during the month in review. In May 2025, Cordillera Administrative Region recorded the highest IR at 2.5 percent. On the other hand, BARMM and SOCCSKSARGEN registered deflation (negative inflation) or annual decline in the average prices of goods and services at 1.6 percent and 1.1 percent, respectively. (Figure 2 and Table 4).

Inflation Rate by Province/HUC

Relative to their IRs in April 2025, Leyte, Southern Leyte, and the lone Highly Urbanized City of Tacloban recorded lower IRs in May 2025. On the other hand, Biliran, Eastern Samar, Northern Samar, and Samar registered higher IRs during the month in review. Among the provinces, Biliran posted the highest IR at 1.2 percent in May 2025. This was followed by Leyte at 1.1 percent, Eastern Samar at 0.6 percent and Northern Samar at 0.5 percent. Samar and Southern Leyte registered deflation (negative inflation) or annual decline in the average prices of goods and services at 0.8 percent and 0.6 percent, respectively. Meanwhile, Tacloban City registered 0.7 percent IR in May 2025 (Figure 3 and Table 5).

TECHNICAL NOTES

The CPI for the bottom 30% income households is compiled by the PSA to measure the changes of prices of commodities commonly purchased by the families that belong to the bottom 30% income decile. The process of price collection and CPI computation is the same as that of the CPI for all income households. However, there is a separate market basket and weights for the CPI for the bottom 30% income households.

BASE YEAR - is a period at which the index number is set to 100. It is the reference point of the index number series. The CPI is rebased from 2012 to 2018.

CONSUMER PRICE INDEX (CPI) - is an indicator of the change in the average prices of a fixed basket of goods and services commonly purchased by households relative to a base year.

DEFLATION - is the decline in prices for goods and services that happens when the inflation rate dips below zero percent.

INFLATION RATE (IR) - is the annual rate of change or the year-on-year changes in CPI. It indicates how fast or how slow price changes over two time periods (year-on-year). Contrary to common knowledge, low inflation does not necessarily connote that prices of commodities are falling. It means that prices continue to increase but at a slower rate.

MARKET BASKET - refers to a sample of goods and services commonly purchased by the households. The market basket for CPI was updated using the results of the 2021 Survey of Key Informants (SKI). The commodities included in the 2018-based CPI market basket were the modal commodities which were considered as the most commonly purchased/availed commodities by the households. The commodities in the 2018-based CPI market basket were grouped/classified according to the 2020 Philippine Classification of Individual 
Consumption According to Purpose (PCOICOP).

MONITORING OF PRICES - involves establishing baseline information for the prices of the items in the base year and monitoring the prices of the items on a regular basis. Data collection for the CPI is done by the provincial office twice a month, except for petroleum products which are monitored on a weekly basis, every Friday. First collection phase is done during the first five days of the month while the second phase is on the 15th to 17th day of the month.

PURCHASING POWER OF PESO (PPP) - gives an indication of the real value of peso (how much it is worth) in a given period relative to its value in the base period. It is computed as the reciprocal of CPI multiplied by 100.

RETAIL PRICE - refers to the actual price at which retailers sell a commodity on spot or earliest delivery, usually in small quantities for consumption and not for resale. It is confined to transactions on cash basis in the free market and excludes underground prices and prices of commodities that are on sale as in summer sales, anniversary sales, Christmas sales, etc.

WEIGHTS - is a value attached to a commodity or group of commodities to indicate the relative importance of that commodity or group of commodities in the market basket. The weights for the 2018-based CPI were derived from the expenditure data of the 2018 Family Income and Expenditure Survey (FIES). The weight for each commodity/group of commodities is the proportion of the expenditure commodity/group of commodities to the total national expenditure. The sum of the weights of the commodity groups at the national level is equal to 100.

SGD. WILMA A. PERANTE
Regional Director