Masbate’s headline inflation reduces to 2.9 percent

Masbate's headline inflation rate decreased from 3.7 percent in January 2025 to 2.9 percent in February 2025. This brings the average provincial inflation rate from January to February 2025 to 3.3 percent. The highest recorded inflation rate was in July 2024 at 6.0 percent. (See Figure 1)

Among the commodity service groups, the Food and Non-alcoholic Beverages is at the top, accounting for the highest share of Masbate’s inflation downtrend, which was in 2.1 percent in February 2025 from 3.0 in January 2025. Followed by Transport, whose index dropped from 3.0 percent last month to 1.3 percent in February 2025, and Furnishings, Household Equipment and Routine Household Maintenance, whose index fall from 10.0 percent in January 2025 to 8.0 percent this month. (See Figure 1 and 4)

Additionally, annual decreases were observed in the indices of the following commodity groups/services during the month:

a. Alcoholic Beverages and Tobacco, 5.9 percent;

b. Clothing and Footwear, 1.5 percent;

c. Housing, Water, Electricity, Gas and Other Fuels, 4.3 percent; 

d. Information and Communication, 5.7 percent;

e. Recreation and Culture, 7.0 percent; and

f. Personal Care, and Miscellaneous Goods and Services, 4.4 percent.

However, throughout the month, the following commodity groups/services shows yearly increases:

a. Health, 0.5 percent; and

b. Restaurants and Accommodation Services, 4.4 percent.

While the following commodity groups/services remained its annual rate during the month:

a. Education Services, 0.0 percent; and

b. Financial Services, 0.0 percent.

Food inflation in the province dropped from 2.5 percent to 1.4 percent this month. One of the main causes of a decline in food inflation was the year-on-year percent change in Fish and other seafood, which fell from 4.8 percent last month to 0.9 percent in February 2025, was one of the primary factors to the decline in food inflation. Followed by Cereals and cereal products (including rice and corn) from -2.4 percent last January 2025 to -3.3 percent this month, and Milk, other dairy products and eggs that came in at -0.4 percent this month from 3.1 percent last month. (See Figure 2)

During the reference month, the following commodities also showed lower annual growth rate:

a. Vegetables, tubers, plantains, cooking bananas and pulses, 4.7 percent;

b. Ready-made food and other food products n.e.c, 9.8 percent.

On the other hand, the following food commodities have demonstrated annual acceleration during the month:

a. Meat and other parts of slaughtered land animals, 16.7 percent;

b. Oils and fats, -3.7 percent;

c. Fruits and nuts, 8.9 percent; and

d. Sugar, confectionery and desserts, -5.9 percent.

The provincial Purchasing Power of the Peso (PPP) in Masbate remains unchanged at 0.75 because of the changes in prices and the current trend of the inflation rate with a minimal movement in Consumer Price Index (CPI). (See Table 1 and Figure 3)