Aklan’s inflation rate in February 2024 accelerated to 3.5%, a noticeable increase from January’s 3.0%.
This spike was largely due to a significant rise in the Consumer Price Index (CPI), which climbed to 123.2 in February from 119.0 in the same month of the previous year.
Reflecting changes in the cost of a standard basket of goods and services since 2018, the CPI’s increase highlights the growing economic burden on consumers, who now need an additional Php123.20 to buy the same amount of goods and services that Php1,000 would have bought in 2018.
Consequently, the purchasing power of the peso has diminished, falling from 84 centavos to 81 centavos year-over-year.
These indicators are vital for the decision-making of planners, financial markets, businesses, and consumers.
The inflation surge was principally driven by higher costs in Housing, Water, Electricity, Gas, and Other Fuels (HWEG). This sector, after a -4.9% deflation last month, experienced a less severe -2.3% decrease this month.
A noticeable shift in electricity prices contributed to HWEG’s overall inflation figure, which was -7.8% in February, a marked improvement from -20.0% previously.
The Transportation sector saw a modest deflation of -0.2% in February, which was an improvement over the -2.1% noted in the month before. In a similar vein, Restaurants and Accommodation Services experienced an increase in inflation from 5.3% to 6.2%.
Conversely, the rate of inflation for Food and Non-Alcoholic Beverages slowed down, moving from 7.8% in January to 7.2% in February.
The decreased inflation rate in the Fish and Seafood category, which went down to -5.2% from 1.1%, was a significant factor in this trend.
Rice prices also showed a deceleration, with inflation at 22.6% in February, down from 23.3% in January. Fruits and nuts saw a drop in inflation to 6.9% from January’s 10.4%.
Moreover, other key commodities such as Ready-made food, Oils and Fats, and Sugar and Confectionery showed a decrease in inflation in February as opposed to January, reflecting the complex and evolving economic situation in Aklan as 2024 progresses.
