TACLOBAN CITY -- The general price levels of goods and services in Leyte recorded a slight increase in January this year, with an inflation rate of 2.5 percent from 1.9 percent the previous month.
Inflation rate is the general rise of prices over a specified period. It indicates how fast or how slow price changes over two time periods. Low inflation does not necessarily mean that prices are falling, rather, it means that prices continue to increase at a slower rate.
Most of the commodity groups contributed to the overall inflation rate in Leyte which include housing, water, electricity, gas and other fuels (6.9 percent); education (3.8 percent); alcoholic beverages and tobacco (3.7 percent); transport (1.6 percent); health (1.5 percent); and food and non-alcoholic beverages (1.5 percent).
The rest of the commodity groups also registered acceleration ranging from 0.2 to 1.2 percent. The previous month’s inflation rate for food and non-alcoholic beverages, health, communication, recreation and culture and education were maintained during the month-in-review.
Moreover, the average provincial inflation rate in Leyte is generally higher than the regional average since January 2016 except in November until the reference period.
Meanwhile, the Purchasing Power of the Peso in Leyte for December 2016 was sustained in January 2017 at 64 centavos, the same level for Region 8. This indicates that the same basket of goods and services worth 64 pesos in 2006 (base year) is worth 100 pesos during the reference period. (PR)