1. Regional Headline Inflation

The year-on-year headline inflation of Davao Region moved upward to 5.3 percent in December 2023, from 4.9 percent in November 2023. The average inflation rate from January to December 2023 stood at 6.3 percent. In December 2022, the region’s inflation was higher at 9.3 percent. (Table 1 and Figure 1).

The uptick in the region’s overall inflation was primarily due to the faster annual growth rate in Food and Non-Alcoholic Beverages at 8.5 percent from 7.7 percent in the previous month. Additionally, the faster annual increments of Transport at 1.5 percent from 0.4 percent, Restaurants and Accommodation Services at 10.7 percent from 10.1 percent, and Clothing and Footwear at 5.8 percent from 5.6 percent in the previous month contributed to the upward trend of the regional headline inflation. (Table 2)

On the other hand, the indices of the following commodity groups displayed lower annual growth rates compared with their previous monthly inflation rates:

a.    Alcoholic Beverages and Tobacco at 12.2 percent from 12.5 percent; 
b.    Housing, Water, Electricity, Gas and Other Fuels at -1.9 percent from -1.5 percent;
c.    Furnishings, Household Equipment and Routine Household Maintenance, at 4.7 percent from 5.1 percent;
d.    Health at 4.5 percent from 4.6 percent;
e.    Information and Communication at 0.8 percent from 1.0 percent;
f.    Recreation, Sport, and Culture at 6.5 percent from 7.0 percent; and
g.    Personal Care, and Miscellaneous Goods and Services at 5.0 percent from 5.6 percent.

Meanwhile, the indices for Education Services, and Financial Services retained their previous month’s inflation rates.
 

2. Davao Region Food Inflation

The region’s Food inflation accelerated to 8.6 percent in December 2023 from 7.7 percent in the previous month. In December 2022, the Food inflation was higher at 10.7 percent. (Table 3)

The main driver in the increase of Food inflation in the region in December 2023 was Cereals and Cereal Products at 18.5 percent from 16.3 percent in the previous month. The following food groups also recorded higher inflation compared to November 2023:

a.    Rice at 27.0 percent from 23.7 percent;
b.    Corn at -1.0 percent from -2.2 percent;
c.    Fish and Other Seafood at 1.4 percent from -2.5 percent; and
d.    Fruits and Nuts at 20.1 percent from 16.5 percent.

On the other hand, the price movement of the following groups moved slower compared to the previous month:

a.    Flour, Bread and Other Bakery Products, Pasta Products, and Other Cereals at 6.7 percent from 7.3 percent;
b.    Meat and Other Parts of Slaughtered Land Animals at 4.3 percent from 4.6 percent;
c.    Milk, Other Dairy Products, and Eggs at 9.2 percent from 9.9 percent;
d.    Oils and Fats at -1.8 percent from -0.6 percent;
e.    Vegetables, Tubers, Plantains, Cooking Bananas and Pulses at -0.6 percent from 5.0 percent.
f.    Sugar, Confectionery and Desserts at -4.4 percent from -4.3 percent; and
g.    Ready-Made Food and Other Food Products N.E.C. at 6.1 percent from 6.9 percent.
 

3. Regional Inflation Rates

At the national level, the country's headline inflation declined to 3.9 percent in December 2023, from 4.1 percent in the previous month (Table 4).
 

Among the 17 administrative regions, BARRM had the highest inflation at 6.2 percent followed by Region XI (Davao Region) at 5.3 percent and Region XII (SOCCSKSARGEN) at 5.1 percent. On the other hand, Region II (Cagayan Valley) had the lowest inflation at 1.6 percent. (Table 4 and Figure 4)

Note: CPIs and inflation rates by province and selected city are posted on the PSA website (http://openstat.psa.gov.ph/).

APPROVED FOR RELEASE:

RANDOLPH ANTHONY B. GALES

(Chief Statistical Specialist)

Officer-In-Charge

Regional Statistical Services Office 11