Decline in inflation rates of the Food, Beverages and Tobacco, Services and Fuel, Light and Water commodity groups were enough to pull down the overall level of inflation for the month. The continuing drop in fuel prices in the world market helped taper off the level for the past three months. More food items included in the region's market basket posted lower inflation rates, shedding 1.7 percentage points in the overall inflation of the Food group. Fish, miscellaneous foods, meals eaten outside, corn and cereal preparations were among those with higher inflation rates for the month. Services shed 1.3 percentage points and Fuel, Light and Water by 0.3 percentage point, while increase in inflation rates were observed in the Housing and Repairs (0.2 percentage point), Clothing and Miscellaneous (0.1 percentage point apiece) commodity groups .

Average prices of consumer goods dropped slightly as reflected in the monthly Consumer Price Index (CPI) of 157.9. Services and Food, Beverages and Tobacco fell by 1.3 and 0.5 point each, contributing to the 0.4 point overall decrease this month. Recording increases were: Fuel, Light and Water (0.8 point); Miscellaneous commodity group (0.4 point) and Clothing and Housing and Repairs (0.3 point) each.

Consumer Price Index and Inflation Rate by Commodity Group
Region V: October and September 2008
(2000=100)

On a month-on-month basis, average inflation rate in the Bicol Region fell by a minimal 0.1 percentage point to settle at negative 0.3 percent. Majority of the commodity groups posted declines in inflation rates: Services (0.3 percentage point), Food, Beverages and Tobacco (0.2 percentage point) and Clothing, Housing and Repairs and Miscellaneous commodity groups (0.1 percentage point apiece). Registering increase was Fuel, Light and Water, surging by 2.1 percentage points.

The purchasing power of the peso in Bicol Region remained at 63 centavos in October 2008 from P1.00 in 2000.

Source of basic data: National Statistics Office

Date Posted: November 10, 2008