Special Release

Summary Inflation Report 
Consumer Price Index
(2018=100)
July 2024

Table A. Year-on-Year Inflation Rates, All Items
In Percent
(2018=100)

Source: Philippine Statistics Authority, Retail Price Survey of Commodities for the Generation of Consumer Price Index
*Year-on-year change of average CPI for January to July 2024 vs. 2023

Figure 1. Inflation Rates in Eastern Samar, All Items
(2018=100)

Source: Philippine Statistics Authority, Retail Price Survey of Commodities for the
Generation of Consumer Price Index

EASTERN SAMAR

1. Headline Inflation

Inflation Rate (IR) in Eastern Samar accelerated to 3.3 percent in July 2024 from 3.0 percent in June 2024. This brings the average inflation in the Province from January to July 2024 to 3.4 percent. The Province’s inflation rate is lower than the 4.4 percent IR in Region VIII and in the Philippines. In July 2023, inflation rate was recorded at 5.5 percent. (Figure 1, and Tables A and B)

Table B. Year-on-Year Inflation Rates in Eastern Samar, All Items 
In Percent January 2019 – July 2024
(2018=100)

Source: Philippine Statistics Authority, Retail Price Survey of Commodities for the Generation of Consumer Price Index,

Main Drivers of the Upward Trend of Eastern Samar’s Inflation 

The upward trend in the province’s inflation rate in July 2024 was mainly driven by a faster year-on-year growth rate of the heavily-weighted Food and Non-Alcoholic Beverages at 5.2 percent from 4.8 percent in June. Also, the faster increase in Housing, Water, Electricity, Gas, and Other Fuels at 0.1 percent from a deflation of 0.7 percent in the previous month, and Transport at 1.2 percent from 0.8 percent in June 2024 contributed to the uptrend of the province’s inflation. (Table C) In addition, the following commodities registered faster inflation rates in
July 2024:

(a) Restaurants and Accommodation Services, 2.1 percent from 1.5 percent; and
(b) Recreation, Sport and Culture, Education Services, 6.2 percent from 5.8 percent;

On the other hand, Furnishings, Household Equipment, and Routine Household Maintenance; and Personal Care, and Miscellaneous Goods recorded lower inflation rates at 2.6 percent and 1.9 percent, respectively in July 2024 from their respective inflation rates of 3.3 percent and 2.4 percent in the previous month.

Meanwhile, Alcoholic Beverages and Tobacco, Clothing and Footwear, Health, Information and Communication, Education Services, and
Financial Services maintained their previous month’s inflation rates at 2.6 percent, 2.3 percent, 2.3 percent, 1.7 percent, 0.0 percent, and 0.0 percent, respectively. Top Three Main Contributors to Eastern Samar Inflation The following commodity groups were the top three (3) contributors to the July 2024 inflation of the province of Eastern Samar:

a. Food and Non-Alcoholic Beverages with 79.3 percent share or 2.62 percentage points;
b. Furnishings, Household Equipment, Household Maintenance with 2.9 percent share or 0.09 percentage points; and
c. Personal Care, and Miscellaneous Goods and Services with 2.8 percent share or 0.09 percentage points.

Table C. Year-on-Year Inflation Rates in Eastern Samar, By Commodity Group 
In Percent
July 2023, June 2024, and July 2024
(2018=100)

Source: Philippine Statistics Authority, Retail Price Survey of Commodities for the Generation of Consumer Price Index

2. Food Inflation

Inflation rate of Food in the Province in July 2024 increased to 5.6 percent from 5.2 percent in the previous month. In July 2023, its inflation rate was equal to July 2024 record. (Table D)

Main Drivers of the Upward Trend of Food Inflation

The upward trend of food inflation in July 2024 was mainly due to the slower price increase of Rice at 26.4 percent from 27.9 percent in June 2024.

Meanwhile, the following food groups registered faster increases in their inflation rates in July 2024 compared to that in the previous month:

(a) Meat and other parts of slaughtered land animals, 1.1 percent from 0.3 percent
(b) Fruits and Nuts, 5.3 percent from 1.5 percent; and
(c) Ready-made Foods, and other food products not elsewhere classified, 2.2 percent from 2.0 percent;

Fish and other seafood; Vegetables, tubers, plantains, cooking bananas and pulses; and Sugar, Confectionery, and Desserts registered a slower price decrease at -8.6 percent, -5.1 percent, and -6.1 percent in July 2024 from -10.4, -7.5 percent, and -6.9 percent in the previous month.

On the other hand, Flour, Bread and Other Bakery Products, Pasta Products; Milk, other dairy products and eggs and Other Cereals; and Oils and Fats maintained their previous inflations of 1.8 percent, 2.3 percent, and -1.7 percent in July 2024.

Table D. Year-on-Year Inflation Rates in Eastern Samar, By Food and Non-Alcoholic Beverages
In Percent
July 2023, June 2024, and July 2024
(2018=100)

Source: Philippine Statistics Authority, Retail Price Survey of Commodities for the Generation of Consumer Price Index

Purchasing Power of Peso (PPP) maintains at PhP 0.80 in July 2024

Figure 2. Purchasing Power of Peso in Eastern Samar
July 2023 – July 2024
(2018=100)

For this month, the Purchasing Power of Peso (PPP) in Eastern Samar maintained its previous month’s PPP of 80 centavos. This indicates that a peso in 2018 has a value of 80 centavos in July 2024. (Figure 2)

Table 2. Consumer Price Index and Inflation Rate for All Income Households in Eastern Samar, By Commodity
June 2024 – July 2024
(2018=100)

TECHNICAL NOTES

Consumer Price Index (CPI) - is an indicator of the change in the average retail prices of a fixed basket of goods and services commonly purchased by households relative to a base year. It shows how much on the average, prices of goods and services have increased or decreased from a reference period known as the base year. The current CPI series is 2012-based.

The 2012 FIES expenditure data were used to directly estimate the 2012 CPI weights at the national and regional levels. However, the 2012 FIES estimates for the expenditure data at the provincial level were not directly utilized in estimating the CPI expenditure weights as the data at the provincial/city level may not be reliable with the use of the households' master sample (MS) that was utilized in selecting the 2012 FIES sample households. The MS was drawn using regions as domains in generating estimates in all the household surveys of the PSA starting July 2003. The provincial/city expenditure data were derived using the model-based method in small area estimation procedures using the regional expenditure data as the control total for all the expenditure data within the specific region. Using these estimates, the weight for each item of expenditure is computed as a proportion of that item of expenditure to the total national expenditure. A raking procedure was done to adjust the weights of the provinces so that the provincial weights when added up will equal to the regional weights.

The formula used in computing the CPI is the weighted arithmetic mean of price relatives, a variant of the Laspeyres formula with fixed base year period weights as shown below:

∑ [(Pn / P0) * (P0*Q0)]
CPI = X 100
∑(P0*Q0)
where Pn = current price
P0 = base year
price or base price
P0* Q0= base year
weights

Base Period or Base Year - is the period, usually a year, at which the index number is set to 100. It is the reference point of the index number series.

Market Basket - is a term used to refer to a sample of goods and services that are commonly purchased and bought by an average
Filipino household.

Inflation Rate (IR) - is defined as the annual rate of change or the year-to-year change in the CPI and is computed as:

(CPI2 – CPI1)
Inflation Rate = X 100
CPI1
where CPI2= is the CPI in the
second period CPI1= is the
CPI in the previous period

Purchasing Power of the Peso (PPP) - is a measure of the real value the peso in a given period relative to a chosen reference period. It is computed by getting the reciprocal of the CPI and multiplying the result by 100.

PPP = (1/CPI (All Items) *100

RONNIE A. BAJADO
Chief Statistical Specialist