Consumer prices rose 0.3% over the previous month in October, down from the 0.9% uptick in September. The increase was driven by higher prices for 9 of the 11 components of the index, with transport; housing, water, electricity, gas, and other fuels; and alcoholic beverages and tobacco registering the strongest month-on-month price growth. Meanwhile, prices for education and communication were flat in the month.
Inflation was stable at September’s 6.7% in October, which represents a near-decade high. Thus, inflation remained above the upper bound of the Central Bank’s target range for the 2018–2020 period, set at 3.0% plus or minus 1.0 percentage point. Meanwhile, annual average inflation rose to 4.8% in October from 4.5% in September.
Philippines Inflation Forecast
FocusEconomics Consensus Forecast panelists expect inflation to average 4.9% in 2019, which is up 0.3 percentage points from last month’s projection. For 2020, panelists see inflation of 4.1%.