Further price spike expected, Central Visayas inflation up by 1.3% in November

CEBU, Philippines – Inflation in Central Visayas picked up in November due to an increase in consumer prices after three straight months of near-zero levels.

The region's consumer price index rose 1.3% in November from 1% in the previous month and 0.9% in September. Inflation in August also stood at 1%.

Efren Carreon, regional director of the National Economic and Development Authority, said the slight rise in prices of goods was expected in the last quarter of the year due to the holiday season and the effects of the El Niño phenomenon.

"We might see a slight spike in the prices of commodities particularly of food items in the last quarter of this year and the early part of next year as the effects of El Niño start to kick in," the NEDA official had said in an interview late last month.

The regional chief reported the latest inflation data during the Regional Development Council meeting Friday.

Inflation from the first quarter to third quarter this year averaged at 2%, lower than the average 5.2% recorded in the same period last year.

Carreon said clothing recorded the highest average inflation among the commodities in the first 11 months of the year at 5.5%. It was followed by furnishings (3.7%), alcoholic beverage (3.4%), education (3.3%), housing (2.1%), restaurant (1.8%) and food (1.7%).

Nationwide, inflation also quickened to 1.1% due to the rise in consumer prices of both food and non-food items.

Economic Planning Secretary and NEDA Chief Arsenio Balisacan had already warned of the upside risks of El Niño and its impact on consumer prices.

To manage the risks of higher inflation, the NEDA called on the quick implementation of the roadmap to address El Niño's impact to soften its impact on food prices and utility rates. (FREEMAN)