By Francis Allan L. Angelo
Inflation rates in Iloilo City and Iloilo province slowed in September 2024 but remain above the national average, according to a report from the Institute of Contemporary Economics using data from the Philippine Statistics Authority (PSA).
The national inflation rate dropped significantly to 1.9% in September, down from 3.3% in August, driven by lower food and fuel prices.
In contrast, Iloilo province recorded an inflation rate of 3.9%, a decrease from 5.6% in August, while Iloilo City saw a reduction to 2.8%, down from 3.7%.
Despite these improvements, both areas still exceed the national inflation rate of 1.9, signaling continued pressure on local households and businesses.
Factors contributing to these regional differences include varying costs in transportation, food, and utilities, which tend to be more volatile in some provincial markets.
Other areas in Western Visayas also saw inflation ease.
Guimaras posted the highest inflation rate in Western Visayas at 4.7%, though it was down from 5.5% in August.
Bacolod City’s inflation also decelerated, falling to 3.9% from 5.7%, while Negros Occidental saw a drop to 3.2% from 4.6%.
Antique and Capiz provinces recorded sharper declines, with Antique’s inflation falling from 5.3% to 2.4% and Capiz’s dropping from 3.7% to 2.8%.
Aklan saw the smallest change, with inflation dipping from 4.5% to 2.3%.
Inflation refers to the rate at which the general level of prices for goods and services rises over time, causing the purchasing power of a currency to decrease.
In simpler terms, as inflation increases, the same amount of money buys fewer goods or services.
For example, if a kilogram of rice costs PHP 50 this year and the price rises to PHP 55 next year, that’s an indication of inflation.
Inflation is important because it directly affects the cost of living. When prices increase, households have to spend more on necessities like food, fuel, and utilities, which leaves less money for other expenses or savings. In regions like Iloilo, where inflation remains higher than the national average, families and businesses feel the strain more intensely.
For instance, if transport costs go up due to inflation, it affects not just commuters but also the prices of goods transported from rural areas to the markets. This can create a domino effect, where higher transportation costs push up the prices of agricultural products like rice or fish, which are staples in Filipino households.
