Philippine inflation rate falls to 1.9 pct in September

MANILA, Oct. 5 (Xinhua) -- The Philippines' annual inflation rate eased to a four-year low of 1.9 percent in September 2024 from 3.3 percent in August 2024, marking the lowest level since May 2020, the Philippine Statistics Authority (PSA) said on Friday.

"This is the lowest inflation rate since the 1.6 percent rate recorded in May 2020," PSA Chief Dennis Mapa told a news conference.

Mapa said the main drivers of the downward trend of headline inflation in September were food and non-alcoholic beverages, which fell to 1.4 percent from 3.9 percent in August.

Mapa added that transport also contributed to the downtrend, with a faster year-on-year decrease of 2.4 percent during the month compared to a 0.2 percent annual drop in August 2024.

The PSA chief said the core inflation, which excludes selected food and energy items, slowed to 2.4 percent in September 2024 from 2.6 percent in August. In September 2023, core inflation was higher at 5.9 percent.

The decline in the September inflation rate brings the national average inflation from January to September 2024 to 3.4 percent, within the government's target range of 2 percent to 4 percent. In September 2023, the inflation rate was higher at 6.1 percent.

National Economic and Development Authority Secretary Arsenio Balisacan said the continued slowdown in inflation "is expected to boost consumer confidence, drive higher spending and consumption, and fuel business expansion."■