Philippine inflation accelerated for the first time in five months in February, driven by higher prices of food and non-alcoholic beverages, the country's statistics agency reported on Tuesday.
The consumer price index rose 4.2% in February, up from 4% in January, marking the first increase since September 2021. This uptick was mainly attributed to the 6.7% increase in the food and non-alcoholic beverages index, which accounts for a significant portion of the country's inflation basket.
According to the Philippine Statistics Authority, the uptick in inflation was also influenced by higher prices of meat, fish, vegetables, and fruits. Transport costs also contributed to the overall increase, with higher prices of gasoline and diesel affecting the transportation index.
Despite the rise in inflation, the Philippine central bank has maintained its accommodative monetary policy stance to support economic recovery amid the ongoing COVID-19 pandemic. The central bank has emphasized that the recent inflation uptick is driven by supply-side factors and is expected to be transitory.
Analysts have noted that while inflation has picked up slightly, it remains within the central bank's target range of 2% to 4%. They expect inflation to remain manageable in the coming months, barring any unforeseen shocks to the economy.
The Philippine government has been implementing various measures to mitigate the impact of rising prices on consumers, including the implementation of price controls on certain food items and the provision of subsidies to vulnerable sectors of the population.
Overall, the uptick in inflation in February reflects the ongoing challenges faced by the Philippine economy as it navigates the uncertainties brought about by the pandemic and global economic conditions. The government and central bank will continue to closely monitor inflation dynamics and implement appropriate measures to ensure price stability and support sustainable economic growth.
