Kalinga’s inflation for the month of February 2024 is recorded at 1.0 percent, notably lower than the 10.1 percent posted in the same period a year ago. Likewise, this month’s inflation is higher than the -1.4 percent last January 2024.

Figure 1.  Year-on-Year Changes of the Inflation Rate: Kalinga  
 February 2023 to February 2024
(2018=100)

  PRICE SITUATION: Year-on-Year

On the contrary, a decrease was recorded in the price index of Housing, Water, Electricity, Gas, and Other Fuels with -4.9 percent change (114.6 to 109.0) and Transport with   -2.2 percent change (125.9 to 123.1).

Meanwhile, the price index of Financial Services and remained 0 percent change at 146.0.

Table 1 Kalinga Consumer Price Index by Subgroup, Year-on-Year 

PRICE SITUATION: Month-on-Month

   In the month-on-month comparison, the consumer price index in All Items is       posted at 1.8 percent a little bit higher from 123.6 to 125.8. The increase on the monthly CPI of the month was the result of the price increase of price from the group of Housing, Water, Electricity, Gas, and Other Fuels with 3.1 percent changes from 105.7 to 109.0;  Transport with 2.2 percent changes from 120.4 to 123.1;  Recreation, Sport, and Culture with 2.2 percent changes from 115.2 to 117.7; Restaurant and Accommodation with 2.1 percent changes from 144.5 to 147.5; ; Food and Non-Alcoholic beverages with 1.6 percent change from 123.1 to 127.1; Information and Communication with 1.3 percent changes from 101.9 to 103. Clothing and Footwear with 1.2 change from 126.1 to 127.6; Personal Care and Miscellaneous remain at 1.2 percent changes from 120.9 to 122.3; Furnishings Household Equipment and Routine Maintenance of the House with 1.1 percent change 132.8 to 134.2; Alcoholic Beverages and Tobacco with 1.0 percent changes from 181.6 to 183.5); and Health with 0.5 percent change from 138.4 to 139.1.

Meanwhile, the price index of Financial Services, and Education remained at 0 percent change with 146.0, and 127.7 respectively.

Table 2: Consumer PriceIndex by Commodity Group for All   Income Households in Kalinga February 2023 and February 2024

(2018=100)

Purchasing Power of Peso

PURCHASING POWER OF PESO
The Purchasing Power of Peso (PPP) in Kalinga was valued at 0.79 this

Figure 2: Purchasing Power of Peso in Kalinga

February 2023 - February 2024

Technical Notes:

Price – is the amount or value paid in exchange for the commodity or a service rendered

Retail/Consumer Price – refers to the price at which a commodity is sold in small          quantities for consumption.

Weight – a value attached to a commodity or group of commodities to indicate the relative importance of that commodity or group of commodities in the market basket.

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

Consumer Price Index (CPI) – is a measure of the average change overtime in the prices paid by urban consumers for a market basket of consumer goods and services.

Inflation Rate - is the percentage increase or decrease in prices during a specified period, usually a month or a year and it is derived from CPI. It is interpreted in terms of declining purchasing power of money.

Unit of Measure -  refers to which a commodity is customarily traded in the market, and it is the actual unit in which the associated values are measured. 

Commodity Specifications – refers to the detailed description of the commodity such as a brand packaging, size and unit of measure or other characteristics that will best describe the product/commodity and are important in the determination of prices.

Uses of the CPI

As an indicator, the CPI is the most widely used in the calculation of the inflation rate and purchasing power of the peso. It is a major statistical series used for economic analysis and as monitoring indicator of government economic policy.

The CPI is also used as a deflector to express value series in real terms, which is, measuring the change in actual volume of transaction by removing the effects of price changes. The CPI also serves as inputs in wage adjustments through the collective bargaining agreements.