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

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

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

EASTERN SAMAR

1. Headline Inflation

Inflation Rate (IR) in Eastern Samar further slowed down to 1.2 percent in October 2024 from 1.9 percent in September 2024. This brings the average inflation in the Province from January to October 2024 to 
2.9 percent. The Province’s inflation rate is lower than the 2.1 percent IR in Region VIII and 2.3 percent IR of the Philippines. In October 2023, inflation rate was higher at 7.5 percent. (Figure 1, and Tables A and B)

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

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

The downward trend in the province’s inflation rate in October 2024 was mainly driven by a slower annual increase of the heavily-weighted food and non-alcoholic beverages at 0.8 percent from a 2.6 percent annual increase in September. Also, the slower inflation rate of furnishings, household equipment, and routine household maintenance at 0.8 percent from an annual increase of 1.6 percent in the previous month, and the slower annual increase in recreation, sport and culture at 3.0 percent from a 4.0 percent annual increase in the previous month, contributed to the downward trend of the province’s inflation. (Table C)

In addition, the following commodities registered slower inflation rates in October 2024:

(a) Information and communication, 1.0 percent from 1.7 percent;
(b) Personal care, and miscellaneous goods and services, 1.2 percent from 1.3 percent; and
(c) Clothing and footwear, 2.0 percent from 2.1 percent;

Only housing, water, electricity, gas and other fuels recorded a faster annual increase at 4.6 percent from an annual increase of 3.4 percent in September 2024. On the other hand, transport posted a slower annual decline of 6.1 percent from an annual drop of 6.3 percent in the previous month.

On the other hand, alcoholic beverages and tobacco, health, education services, restaurants and accommodation services, and financial services maintained their respective previous month’s inflation rates at 1.8 percent, 2.1 percent, 0.0 percent, 0.4 percent, and 0.0 percent.

Top Three Main Contributors to Eastern Samar Inflation

The following commodity groups were the top three (3) contributors to the October 2024 inflation of the province of Eastern Samar:

a.    Housing, water, electricity, gas and other fuels with 71.8 percent share or 0.86 percentage point;
b.    Food and non-alcoholic beverages with 34.8 percent share or 0.42 percentage point; and
c.    Clothing and footwear with 6.6 percent share or 0.08 percentage point.

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

2. Food Inflation

Inflation rate of Food in the Province in October 2024 further slowed down to 0.8 percent from 2.7 percent in the previous month. In October 2023, food inflation was higher at 12.1 percent. (Table D)

Main Drivers of the Downward Trend of Food Inflation

The downward trend of food inflation in October 2024 was primarily due to the slower inflation rate of Rice at 0.2 percent from 7.3 percent in September 2024. Also, the annual decrease in fish and other seafood at 0.3 percent from an annual increase of 1.5 percent, and the slower inflation rate of ready-made foods and other food products not elsewhere classified at 2.4 percent from an annual increase of 3.3 percent in the previous month contributed to the downward trend of the province’s food inflation.

Meanwhile, the following food groups registered faster annual increase in their inflation rates in October 2024 compared to that in the previous month:

(a) Flour, bread and other bakery products, pasta products, and other cereals, 3.0 percent from 2.7 percent;
(b) Meat and other parts of slaughtered land animals, 2.4 percent from 1.3 percent; 
(c) Milk, other dairy products and eggs, 3.7 percent from 2.6 percent, and
(d) Fruits and nuts, 14.1 percent from 4.7 percent.

Vegetables, tubers, plantains, cooking bananas and pulses, and sugar, confectionery and desserts recorded faster annual decrease in inflation rates at 6.3 percent and 6.5 percent, respectively from an annual decline of 6.2 percent and 6.3 percent, respectively in September 2024.  

Only oils and fats maintained its previous month’s record at 1.3 percent.

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

Purchasing Power of Peso (PPP) remains at PhP 0.78 in October 2024

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

For this month, the Purchasing Power of Peso (PPP) in Eastern Samar remains at 78 centavos. This indicates that a peso in 2018 has a value of 78 centavos in October 2024. (Figure 2)

Table 2. Consumer Price Index and Inflation Rate for All Income Households in Eastern Samar, By Commodity September 2024 – October 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