Consumer Price Index

The Consumer Price Index (CPI) of the Ilocos Region in July 2023 was posted at 119.8. This means that one needs PhP119.80 to purchase the same set of goods and services that were worth Php100.00 in 2018.

The region’s CPI in July 2023 decreased by 3.6 percent from 6.3 percent in July 2022. Meanwhile, there was no movement from the June 2023 CPI. (see Table 2)

Among the provinces, Ilocos Sur posted the highest price index in July 2023 at 122.6. Pangasinan followed at 121.1, and Ilocos Norte at 120.0. Meanwhile, La Union recorded the lowest price index of 113.3 during the period.

Compared to the July 2022 levels, all provinces marked increases in the price index. Pangasinan recorded the highest increase of 5.3 percentage points, followed by Ilocos Sur with 2.8 percentage points. La Union and Ilocos Norte increased by 2.6, and 2.5 percentage points, respectively.
 

By Commodity Group

The top three commodity groups that recorded high price indices in July 2023 were: alcoholic beverages and tobacco (158.0); financial services (146.0); and food and non-alcoholic beverages (123.8). On the other hand, the bottom three commodity groups with low price indices were: information and communication (101.8); recreation, sport and culture (111.5); education services and (113.2).

As shown in Figure 3, the inflation rate of the Ilocos Region decreased from 4.3 percent in June 2023 to 3.6 percent in July 2023, lower by of 0.7 percentage point. Furthermore, it is lower by 2.7 percentage points from the recorded rate of 6.3 percent in July 2022

Nine out of the thirteen commodity groups exhibited lower inflation rates that contributed to the slower inflation in Ilocos Region in July 2023:
a.    Housing, water, electricity, gas and other fuels, 1.0 percent;

b.    Food and non-alcoholic beverages at 6.4 percent;

c.    Transport, -9.1 percent;

d.    Restaurants and accommodation services, 4.6 percent;

e.    Clothing and footwear, 5.3 percent;

f.    Health, 5.7 percent;

g.    Personal care, and miscellaneous goods and services, 6.6 percent;

h.    Furnishings, household equipment and routine household maintenance, 8.6 percent; and

i.    Recreation, sport and culture, 3.2 percent.
Meanwhile, alcoholic beverages and tobacco went up to 9.2 percent in July 2023. The rest of the commodity groups retained their previous month’s inflation rates or had zero percent annual growths. (see Table 2)

Among the provinces, Pangasinan posted the highest inflation rate at 4.6 percent in July 2023 followed by Ilocos Sur and La Union, both at 2.3 percent, and Ilocos Norte at 2.1 percent.
Compared to their respective levels in July 2022, all provinces exhibited decreases in inflation rates. Ilocos Norte decreased by 6.2 percentage points while Ilocos Sur and La Union exhibited decreased inflation rate by 5.3 percentage points and 2.0 percentage points, respectively. The province of Pangasinan exhibited decreased inflation rate by 1.4 percentage points.

Purchasing Power of Peso

The Purchasing    Power    of the    Peso (PPP) in the Ilocos Region in    July 2023 was posted at PhP0.83. This means that the purchasing capability of PhP1.00 in 2018 has decreased by 17 centavos.

Among    the provinces, La Union posted the highest PPP in July 2023 with PhP0.88. It was followed by Ilocos Norte and Pangasinan, both with PhP0.83 PPP. Meanwhile, Ilocos Sur recorded the lowest PPP of PhP0.82.

It can be gleaned in Figure 5 that PPPs in all the provinces of the region in July 2023 were lower than their respective levels in July 2022. Pangasinan has the highest decrease of Php0.03 followed by Ilocos Norte and La Union, both decreased by PhP0.02. Meanwhile, Ilocos Sur’s PPP decreased by PhP0.01.

SGD. ATTY. SHEILA O. DE GUZMAN, CPA
Regional Director, RSSO I