Consumer Price Index

The Consumer Price Index (CPI) of the Ilocos Region in October 2023 was posted at 122.5. This means that one needs PhP122.50 to purchase the same set of goods and services that were worth PhP100.00 in 2018.

Among the provinces, Pangasinan posted the highest price index in October 2023 at 124.5. Ilocos Sur followed at 122.4, and Ilocos Norte at 122.0. Meanwhile, La Union recorded the lowest price index of 116.3 during the period.

Compared to the October 2022 levels, all provinces marked increases in the price index, except Ilocos Sur that retained its price index at 122.4. Pangasinan recorded the highest increase of 5.9 percentage points, followed by La Union with 5.1 percentage points. Ilocos Norte increased by 1.4 percentage points.

By Commodity Group

The top three commodity groups that recorded high price indices in August 2023 were: alcoholic beverages and tobacco (158.0); financial services (146.0); and food and non-alcoholic beverages (130.8). On the other hand, the bottom three commodity groups with low price indices were: information and communication (101.8); recreation, sport and culture (112.1); and housing, water, electricity, gas and other fuels (113.1).
 

As shown in Figure 3, the inflation rate of the Ilocos Region decreased from 5.1 percent in September 2023 to 3.7 percent in October 2023, lower by 1.4 percentage points. Likewise, it is lower by 3.7 percentage points from the recorded rate of 7.4 percent in October 2022.

The lower inflation in Ilocos Region in October 2023 was primarily influenced by the considerable decrease in the following commodity groups:

a.    Food and non-alcoholic beverages, 8.9 percent;

b.    Alcoholic beverages and tobacco, 7.6 percent;

c.    Clothing and footwear, 4.8 percent;

d.    Housing, water, electricity, gas and other fuels, -5.8 percent;

e.    Furnishings, household equipment and routine household maintenance, 7.1 percent; and

f.    Personal care, and miscellaneous goods and services, 5.2 percent.

On the other hand, increase in the indices of the following commodity groups as compared to their previous month’s inflation rates were observed:

a.    Health, 3.5 percent;

b.    Transport, 0.8 percent; and

c.    Recreation, sport and culture, 2.5 percent.

The rest of the commodity groups retained their previous month’s inflation rates or had zero percent annual growths.

By Province

Among the provinces, Pangasinan posted the highest inflation rate at 5.0 percent in October 2023 followed by La Union at 4.6 percent. Meanwhile, Ilocos Norte recorded 1.2 percent inflation, and Ilocos Sur exhibited zero percent annual growth.

Compared to their respective levels in October 2022, all the provinces recorded lower inflation rate except for the province of La Union which exhibited increased inflation rate by 0.6 percentage point.

Purchasing Power of Peso

The Purchasing Power of the Peso (PPP) in the llocos Region in October 2023 was posted at PhP0.82. This means that the purchasing capability of PhP1.00 in 2018 has decreased by 18 centavos.

Among the provinces, La Union posted the highest PPP in October 2023 with PhP0.86. It was followed by Ilocos Norte and Ilocos Sur, both with PhP0.82. Meanwhile, Pangasinan recorded the lowest PPP of PhP0.80.

It can be gleaned in Figure 5 that PPPs in all the provinces of the region in October 2023 were lower than their respective levels in October 2022 except for Ilocos Sur that retained its PPP. Pangasinan and La Union both decreased by PhP0.04, while Ilocos Norte’s PPP decreased by PhP0.01.

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