By Jochebed Gonzales, Senior Researcher
Prices of widely used goods logged in 3.3% year-on-year increase in December, sustaining growth observed in the previous month, the Philippine Statistics Authority (PSA) reported this morning.
The headline print landed within the 2.9-3.6% estimate range given by the Bangko Sentral ng Pilipinas (BSP) on Dec. 29. It also matched the median estimate yielded in BusinessWorld poll among economists last week.
For the entire 2017, inflation averaged at 3.2%, well within BSP’s 2%-4% target band, at the same time, matching the central bank’s full-year forecast.
Excluding volatile food and energy prices, core inflation stood at 3% last month, faster compared to December 2016’s 2.5%.
The PSA said higher mark-ups were observed in the following indices: food and non-alcoholic beverages (3.5%); alcoholic beverages and tobacco (6.4%); furnishing, household equipment and routine maintenance of the house (1.9%); and restaurant and miscellaneous goods and services (3%).