Inflation rate accelerated to -3.3 percent in May 2025

Table 1. Year-on-Year Inflation Rates in Apayao Province, All Items in Percent May 2025 (2018=100)

The province’s inflation rate accelerated to -3.3 percent in May 2025 from -3.8 percent in April 2025. It is lower by 9.4 percentage points compared with the same month of the previous year at 6.1 percent and 0.5 percentage point higher than April 2025 at -3.8 percent. (Table 1 and Figure 1)

Figure 1. Year-on Year Inflation Rate, All Items in Percent, May 2024 – May 2025 (2018=100)

Table 2. Year-on-Year Consumer Price Index in Apayao, By Commodity Groups in Percent (2018=100)

The overall CPI decreased from 126.0 of the same month of the previous year to 121.9 in May 2025, representing a -3.3 percent inflation rate. The data shows that the value of goods amounting to 100 pesos in the base year 2018 values 126.00 pesos in May 2024; 122.20 pesos in April 2025; and 121.20 pesos in May 2025. When the CPI decreases, it indicates that the average price level of goods and services has also decreased, and vice versa. (Table 2)

Table 3. Year-on-Year Inflation Rates in Apayao, By Commodity Groups in Percent (2018=100)

The commodity groups which have the highest percentage share in the trend during the period are:

 1. Food and Non-Alcoholic Beverages, which accounted for -6.8 percent inflation and had an 55.7 percent share; 

2. Housing, Water, Electricity, Gas and Other Fuels, which accounted for 0.2 percent inflation and had a 26.6 percent share in the overall trend; and 

3. Personal Care and Miscellaneous Goods and Services, which accounted for 7.1 percent inflation and had 13.7 percent share in the overall trend.

Moreover, the commodity subclass which had the highest contribution in the trend are:

1. Electricity with 26.6 percent; 

2. Dates, figs and tropical fruits, fresh with 23.1 percent; 

3. Eggs with 13.0 percent; 

4. Other vegetables, fresh or chilled with 7.1 percent; 

5. Other appliances, articles and products for personal care with 5.9 percent; 

6. Fish, live, fresh, chilled or frozen with 3.8 percent; 

7. Leafy or stem vegetables, fresh or chilled with 3.8 percent; 

8. Fruit-bearing vegetables, fresh or chilled with 3.2 percent; 

9. Hairdressing with 2.8 percent; and

10.Personal grooming treatments with 2.7 percent share.

On the contrary, there are commodity groups which decreased on their inflation rate, compared to the previous month:

1. Alcoholic Beverages and Tobacco which decreased by 1.0 percentage point; 

2. Furnishings, Household Equipment and Routine Household Maintenance which decreased by 0.3 percentage point; 

3. Recreation, Sport and Culture which decreased by 0.3 percentage point; and 

4. Restaurants and Accommodation Services which decreased by 0.2 percentage point. (Table 3 and Figure 2)

On the other hand, the commodity groups with constant inflation compared to the previous month are:

1. Information and Communication with 3.2 percent; 

2. Education Services with 0.0 percent; and 

3. Financial Services with 0.0 percent. (Table 3 and Figure 2)

Figure 2. Inflation Rate of All Items by Commodity Groups, Comparison Between April 2025 and May 2025

Figure 3. Purchasing Power of Peso in Apayao (2018=100): May 2018 – May 2025

Purchasing Power of Peso (PPP) recorded at 0.79 in May 2025

Purchasing power of peso continues to weaken through the years and reached 0.79 in May 2025. It decreased on the month of May compared to the previous month. The PPP of 0.79 implies that the Php1.00 in the base year 2018 values only Php 0.79 in May 2025. A low purchasing power signifies that the currency has depreciated in value and can acquire a reduced amount of goods and services. Conversely, a high purchasing power of the peso indicates that the currency can purchase a greater quantity of goods and services. (Figure 3)

DEFINITION OF TERMS

Consumer Price Index (CPI) measures the overall change in consumer prices based on a representative basket of goods and services over time.

Bottom 30% Income Households measures inflation specifically for low-income families, using a market basket and weights tailored to their consumption patterns, distinct from the general CPI.

Inflation refers to an overall increase in the Consumer Price Index (CPI), which is a weighted average of prices for different goods.

Purchasing power of the peso shows how much the peso in the base period is worth in the current period. It is computed as the reciprocal of the CPI for the period under review multiplied by 100.

Commodity Groups are group of goods and services found in the market basket of the province. There are thirteen (13) commodity groups which were arranged according to the PCOICOP.

FNAB stands for Food and Non-Alcoholic Beverages

ABT stands for Alcoholic Beverages and Tobacco

CF stands for Clothing and Footwear

HWEGO stands for Housing, Water, Electricity, Gas, and Other Fuels

FHERHM stands for Furnishings, Household Equipment and Routine Household Maintenance

IC stands for Information and Communication

RSC stands for Recreation, Sport, and Culture

ES stands for Education Services

RAS stands for Restaurants and Accommodation Services

FS stands for Financial Services

PCMGS stands for Personal Care, Miscellaneous Goods and Services

Approved by:

GEOFFREY B. CALIMUHAYAN 
Chief Statistical Specialist

LSBT