Consumer Price Index
The Consumer Price Index (CPI) of the Ilocos Region in June 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 June 2023 increased by 4.3 percent from 6.5 percent in June 2022. Meanwhile, it has decreased by -0.2 percent from May 2023. (see Table 2)
Among the provinces, Ilocos Sur posted the highest price index in June 2023 at 122.8. Pangasinan and Ilocos Norte followed with 121.1 and 119.6, respectively. Meanwhile, La Union recorded the lowest price index of 113.3 during the period.
Compared to the June 2022 levels, all provinces marked increases in the price index. Pangasinan recorded the highest increase of 5.9 percentage points, followed by Ilocos Sur with 3.8. percentage points. Ilocos Norte and La Union both have increases of 3.3 percentage points.
By Commodity Group
The top three commodity groups that recorded high price indices in June 2023 were: alcoholic beverages and tobacco (157.4); financial services (146.0); and food and non-alcoholic beverages (123.1). 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); and education services (113.2).
As shown in Figure 3, the inflation rate of the Ilocos Region deccelerated from 5.2 percent in May 2023 to 4.3 percent in June 2023, a decrease of 0.9 percentage point. Similarly, it is lower by 2.2 percentage points from the recorded rate of 6.5 percent in June 2022.
The commodity groups that contributed in the decceleration of the June 2023 inflation rate compared to the previous month in the region were:
a. Food and Non-Alcoholic Beverages, 7.1 percent;
b. Alcoholic Beverages and Tobacco, 9.0 percent;
c. Clothing and Footwear, 5.9 percent;
d. Housing, Water, Electricity, Gas and Other Fuels, 2.4 percent;
e. Furnishings, Household Equipment and Routine Household Maintenance, 8.7 percent;
f. Transport, -8.4 percent;
g. Information and Communication, 0.8 percent;
h. Recreation, Sport and Culture, 3.3 percent; and
i. Personal Care, and Miscellaneous Goods and Services, 6.7 percent.
On the other hand, Health, Education services, Restaurant and Accommodation services, and Financial services remained stable in June 2023. (see Table 2)
By Province
Among the provinces, Pangasinan posted the highest inflation rate at 5.1 percent in June 2023, followed by Ilocos Sur and La Union at 3.2 percent, and 3.0 percent, respectively. The lowest inflation rate was registered in Ilocos Norte at 2.8 percent.
Compared to their respective levels in June 2022, all of the provinces have decreased inflation rates. Ilocos Norte and Ilocos Sur have decreased inflation rates by 4.8 percentage point, and 5.2 percentage points, respectively. Moreover, La Union and Pangasinan have decreased by 1.6 percentage points, and 1.4 percentage points, respectively.
Purchasing Power of Peso
The Purchasing Power of the Peso (PPP) in the Ilocos Region in June 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 June 2023 with Php0.88. It was followed by Ilocos Norte and Pangasinan with Php0.84 and Php0.83, respectively. Meanwhile, Ilocos Sur recorded the lowest PPP of Php0.81.
It can be gleaned in Figure 5 that PPPs in all the provinces of the region in June 2023 were lower than their respective levels in June 2022. Pangasinan has the highest decrease of Php0.04 followed by La Union and Ilocos Sur both with Php0.03. Meanwhile, Ilocos Norte registered decrease in its PPP at Php0.02.
SGD. ATTY. SHEILA O. DE GUZMAN, CPA
Regional Director, RSSO I
