Consumer Price Index for all Income Households in Bicol Region: March 2018

Reference Number: 

2018-003

Release Date: 

Tuesday, April 24, 2018
PRICE SITUATION: YEAR-ON-YEAR
 
The Bicol Region’s inflation rate in March 2018 went up to 6.4 percent. Compared to
the 4.4 percent inflation rate in the same period last year, the March 2018 rate was higher
by 2.0 percentage points.
The increase was attributed to the Inflation Rate by the Food and Non-Alcoholic
Beverages (from 6.0 percent to 6.6 percent), Alcoholic Beverages and Tobacco (from 30.1
percent to 30.4 percent), Clothing and Footwear (from 5.1 percent to 5.6 percent),
Furnishings, Household Equipment and Routine Maintenance of the House ( from 6.7 to 7.1
percent), Health (from 8.4 percent to 8.6 percent), Transport (from 2.8 percent to 3.3
percent), and Restaurants and Miscellaneous Goods and Services (from 6.7 percent to 6.8
percent).
On the other hand, decrement was noted on the following Commodity/Service
Groups; Housing, Water, Electricity, Gas and Other Fuels (from 4.7 percent to 3.6 percent),
Communication (from 1.4 percent to 1.2 percent), and Recreation and Culture (from 1.6
percent to 1.5 percent).
Education at 0.5 percent is the only Service group that remained the same.
Inflation Rate in Masbate peaked at 6.9 percent this month, while Sorsogon is at 5.7
percent. Albay slowed down to 5.9 percent, Camarines Sur is at 6.7 percent, Camarines
Norte is 6.5 percent while Catanduanes is pegged at 6.3 percent.
 
 
PRICE SITUATION: MONTH-ON-MONTH
 
On a month-on-month basis, Education and Food and Non-Alcoholic Beverages
remained at 0.0 percent and 0.6 percent respectively.
However, the general prices of consumer items went down at 0.6 percent. The
decrease was expressively attributed to the effect of the decrease on the prices of Alcoholic
Beverages and Tobacco ( from 6.0 percent to 1.0 percent), Clothing and Footwear (from 2.5
percent to 0.7 percent), Furnishings, Household Equipment and Routine Maintenance of the
House ( from 2.4 percent to 0.4 percent), Health (from 1.4 percent to 0.4 percent), Transport
(from 0.7 percent to 0.3 percent), Communication (from 0.2 percent to 0.0 percent),
Recreation and Culture (from 0.6 percent to 0.0 percent), and Restaurants and
Miscellaneous Goods and Services (from 3.6 percent to 0.6 percent).
For this month, Housing, Water, Electricity, Gas and Other Fuels is the only
commodity group that went up from 0.2 percent to 0.6 percent.
With all the observed price changes in CPI, the Purchasing Power of Peso in Bicol
is still at 0.62. Masbate’s PPP was at 0.59 while Albay was at 0.65. Camarines Norte,
Camarines Sur and Catanduanes were all pegged at 0.61 while Sorsogon is at 0.62.
 

 
DEFINITIONS AND CONCEPTS
 
Consumers’ Price Index - a statistical measure of the change in average retail prices of a
fixed basket of goods and services bought by a specific group of consumers in a given area
in a given period of time.
 
Purchasing Power of the Currency or Peso (PPP) - a measure of the volume of goods and
services which the currency can buy at any given period relative to that which it could purchase
during the base year. It is computed as the reciprocal of the CPI for the period under review
multiplied by 100.
 
Market Basket - the total number of goods and services in constant amounts and qualities
which are samples of the goods and services available in the market and included in the
construction of the index. CPI market basket was selected to represent the composite price
behavior of all goods and services purchased by consumers. Composition of the 2006 market
basket was determined based on the results of the 2006 update of the 2000 basket. Provinces
and selected cities had own market baskets.
 
Base Year - it identifies the base period with which the index relates. It is a period of time
chosen as reference on which a price index is computed. The index for the base year is 100.
 
Retail Price - the actual price at which retailers sell a commodity on spot or earliest delivery,
usually in small quantities for consumption and not for resale. It is confined to transactions on
cash basis in the free market and excludes black-market prices and prices of commodities
that are on sale as in summer sales, anniversary sales, Christmas sales, etc.
 
Percent Change - the percent point change expressed as percent of the index of the earliest
date.
 
Inflation Rate - the annual rate of change or the year-on-year change of the CPI. Inflation is
interpreted in terms of declining purchasing power of money.
 
Note to Users:
The monthly Consumers Price Index is computed based on the average retail prices
of goods and services collected during the first week and mid-month of the reference
month.

 

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