Cheaper prices cause slow inflation in PH

The Philippine Statistics Authority (PSA) reported on Thursday that the inflation in the country slowed down in February amid lower transportation, electricity, and fuel costs.

The inflation lowered to 2.6% this month—softer than the 2.9% pace reported last January and the 3.8% last February 2019.

This figure is recorded to be the slowest since late December 2019.

PSA disclosed that lower prices for transport, utility, and food including lower costs of alcoholic drinks and cigarettes softened the pace of inflation in the country.

Meantime, PSA data showed the price for food went up by just 2.1% from 2.2% last month. Housing expenses, electricity, water, gas and other fuels eased to 1.7% increase. Transport costs also increased by just 1.8 percent, dwindled in comparison to the 3% from last month.

The price of rice continued to decrease since May 2019 as the new law allowed cheap imports of crop to the country. The Price of fish has risen to 8.6%, vegetables by 7.8% and meat by 2.9%.

Meantime, Department of Energy disclosed that retail pump prices were slashed in recent weeks due to mirror decline of world crude prices.

In the province, prices rose faster by 2.8% in contrast to the 2% of Metro Manila.

The fastest recorded was in Bicol coming at 3.6%, followed by Western Visayas with 3.3% and Central Luzon and Mimaropa with 3.2%.

Bangko Sentral nfg Pilipinas (BSP) Governor Benjamin Diokno said that local monetary authorities will factor in the recent inflation figures for its upcoming rate-setting meeting.

He cleared that the BSP will not follow the move of the United States Federal Reserve with their unplanned rate cut amid the new coronavirus disease outbreak.