Consumer Price Index

The Consumer Price Index (CPI) of the Ilocos Region in April 2023 was posted at 120.5. This means that one needs Php120.50 to purchase the same set of goods and services that were worth Php100.00 in 2018.

The region’s CPI in April 2023 increased by 5.9 percent from 5.2 percent in April 2022. Meanwhile, it has decreased by 0.1 percent from March 2023. (see Table 2)

Among the provinces, Ilocos Sur posted the highest price index in April 2023 at 124.5. Pangasinan followed at 121.7, and Ilocos Norte at 120.2. Meanwhile, La Union recorded the lowest price index of 113.9 during the period.

Compared to the April 2022 levels, all provinces marked increases in the price index. Pangasinan recorded the highest increase of 7.9 percentage points, followed by Ilocos Sur with 6.9 percentage points. Ilocos Norte and La Union increased by 5.1, and 4.1 percentage points, respectively.
 

By Commodity Group

The top three commodity groups that recorded high price indices in April 2023 were: alcoholic beverages and tobacco (154.7); financial services (146.0); and transport (123.4). On the other hand, the bottom three commodity groups with low price indices were: information and communication (101.8); recreation, sport and culture (112.2); and education services (113.2).

As shown in Figure 3, the inflation rate of the Ilocos Region went down from 6.7 percent in March 2023 to 5.9 percent in April 2023, a decrease of 0.8 percentage point. However, it is higher by 0.7 percentage point from the recorded rate of 5.2 percent in April 2022.

The decreased inflation in Ilocos Region in April 2023 was primarily influenced by the considerable decrease in inflation of the following:

a.    Transport, -1.9 percent;

b.    Food and non-alcoholic beverages, 8.2 percent;

c.    Furnishings, household equipment and routine household maintenance, 8.9 percent;

d.    Information and communication, 0.9 percent;

e.    Recreation, sport and culture, 4.2 percent;

f.    Restaurant and accommodation services, 4.8 percent; and

g.    Personal care, and miscellaneous goods and services, 6.9 percent.

Meanwhile, higher annual increments in the indices of the following commodity groups as compared to their previous month’s inflation rates were observed:

a.    Alcoholic beverages and tobacco at 10.0 percent;

b.    Clothing and footwear; 6.2 percent;

c.    Health, 6.2 percent; and

d.    Housing, water, electricity, gas and other fuels, 5.7 percent.

The rest of the commodity groups retained their previous month’s inflation rates or had zero percent annual growths. (see Table 2)
 

By Province

Among the provinces, Pangasinan posted the highest inflation rate at 6.9 percent in April 2023 followed by Ilocos Sur and Ilocos Norte at 5.9 percent, and 4.4 percent, respectively. The lowest inflation rate was registered in La Union at 3.7 percent.

Compared to their respective levels in April 2022, Ilocos Norte, Ilocos Sur, and La Union exhibited decreased inflation rates by 2.7 percentage points, 2.1 percentage points, and 0.7 percentage point, respectively. On the other hand, the province of Pangasinan exhibited increased inflation rate by 2.6 percentage points.

Purchasing Power of Peso

The Purchasing    Power of the Peso    (PPP) in the Ilocos Region in    April 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 April    2023 with Php0.88.    It was followed by    Ilocos Norte with Php0.83 PPP, and Pangasinan with Php0.82 PPP. Meanwhile, Ilocos Sur recorded the lowest PPP of Php0.80.

It can be gleaned in Figure 5 that PPPs in all the provinces of the region in April 2023 were lower than their respective levels in April 2022. Pangasinan has the highest decrease of Php0.06 followed by Ilocos Sur and Ilocos Norte with Php0.05, and Php0.04, respectively. Meanwhile, La Union registered decrease in its PPP at Php0.03.

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