Philippine Statistics Authority (PSA) recorded another quick price increase of essential goods and services last November with a 1.3% inflation rate in the Philippines.
The increase was faster than 0.8 percent in October.
According to PSA, the abrupt increase is due to higher prices of cigarettes, alcohol, and housing and utility costs.
The major contributors to the November higher inflation rate in the Philippines were high restaurant prices and miscellaneous goods and services.
BSP governor predicted low inflation rate in the Philippines to bring Filipinos ‘nice Christmas’
The sudden spike in inflation rate was the opposite of what Bangko Sentral ng Pilipinas (BSP) Governor Benjamin Diokno said last month that Filipinos could expect a “nice Christmas” given the low inflation rate and oil prices.
“And on prices naman, sinuswerte pa rin tayo (we’re lucky), mababa pa rin ang (still low) long-term forecast of oil prices, sinuswerte tayo all the way. So we’ll have a nice Christmas,” said Diokno.
The inflation rate in October 2018 fell at 0.8 percent, way lower than 6.7 percent in the same month in 2019.
BSP Governor Benjamin Diokno said President Rodrigo Duterte’s suspension of rice importation has no impact on inflation.
In a media interview, Diokno said many imports are yet to come, and due to harvest time, the price of rice may still decline.
“Hindi naman makakaapekto kasi maraming imports na darating pa lang eh, tapos concern nga is harvest season, baka lalong bumaba yung presyo,” said Diokno.
(It doesn’t matter because many imports are just coming, another concern is the harvest season, the price may drop further.)
There is no reason the government can stop rice tariffication because it is already a law.