1. Cordillera Administrative Region (CAR)

Inflation in Cordillera continued to rise as it increased further to 7.9 percent in January 2023, from 7.7 percent in December 2022. This is the highest inflation rate in the region since October 2008. Inflation in January 2022 was lower at 4.2 percent.

The acceleration of inflation rate in January 2023 was primarily brought about by the faster year-on-year growth rate in the index of food and non-alcoholic beverages at 11.4 percent, from 10.2 percent in December 2022. This is followed by the index of clothing and footwear at 4.4 percent, from 3.7 percent in December 2022.  Coming in third is the index of personal care, and miscellaneous goods and services with an inflation rate of 4.9 percent, from 4.5 percent inflation in December 2022 (Table B and Figure 1).

Relative to their annual rates in the previous month, higher annual increases were also observed in the indices of the following commodity groups:

1. Furnishings, household equipment and routine household maintenance, 3.9 percent;
2. Restaurants and accommodation services, 6.8 percent; and
3. Recreation, sport and culture, 4.5 percent;

On the other hand, financial services and educational services retained its annual growth rate in January 2023 while slower annual growth rates were observed in the indices of the following commodity groups:

1. Housing, water, electricity, gas and other fuels, 4.1 percent;
2. Transport, 16.3 percent;
3. Alcoholic beverages and tobacco, 9.6 percent;
4. Health, 3.8 percent; and
5. Information and communication, 0.2 percent.

2. Food Inflation in CAR

The acceleration in food inflation was mainly brought about by higher annual growth in the food sub-groups index of vegetables, tubers, plantains, cooking bananas and pulses index at 49.6 percent, from 36.3 percent in December 2022. Moreover, higher annual increase was observed in the indices of the following food groups:

1. Milk, other dairy products and eggs, 12.9 percent;
2. Fish and other seafood, 5.2 percent;
3. Flour, bread and other bakery products, pasta products, and other cereals, 9.0 percent; and
4. Ready-made food and other food products, 4.6 percent.

Meanwhile, deceleration was registered in the following food groups:

1. Cereals and cereal products at 4.5 percent;
2. Meat and other parts of slaughtered land animals at 4.9 percent; and
3. Fish and other seafood at 4.6 percent.
    

3. Provinces/ Highly Urbanized City (HUC) in CAR

Among the provinces and highly urbanized city, Kalinga registered the highest inflation rate in the region at 11.4 percent from 9.7 percent in December 2022. This was followed by Abra at 9.3 percent, Baguio City at 7.1 percent, and Ifugao at a 5.6 percent inflation rate.

The acceleration of the inflation rate in Kalinga was primarily due to the higher annual growth rate in the index of food and non-alcoholic beverages with a 13.6 percent inflation rate, from 9.5 percent in December 2022. Meanwhile, lower annual increases were recorded in the provinces of Apayao at 10.3 percent, Mountain Province at 9.8, percent and Benguet at 6.9 percent inflation rate.

On the other hand, the lowest annual increase in the inflation rate remains in the province of Ifugao at 5.6 percent.

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Note:
CPI and inflation rates by province and selected city are posted on the PSA website (http://openstat.psa.gov.ph).

VILLAFE P. ALIBUYOG
Regional Director