

1. Regional Headline Inflation
The year-on-year headline inflation of Davao Region rose at 0.6 percent in June 2025 from 0.2 percent in May 2025. In June 2024, the region’s inflation was higher at 4.3 percent. (Table 1 and Figure 1).
The uptrend in the region’s overall inflation in June 2025 was primarily brought about by the faster annual increment in the index of Housing, Water, Electricity, Gas and Other Fuels at 1.8 percent from 0.1 percent. Also contributing to the uptrend was the slower price decline in the commodity group of Transport, at -1.7 percent from -3.5 percent, and a faster year-on-year increase in the index of Education Services, at 11.7 percent from 7.8 percent.
Additionally, faster annual increments were noted in the indices of the following commodity groups during the month:
a. Clothing and Footwear, at 2.7 percent from 2.5 percent;
b. Furnishings, Household Equipment, and Routine Household Maintenance at 3.2 percent from 3.1 percent;
c. Health at 3.2 percent from 2.9 percent;
d. Recreation, Sport, and Culture at 5.4 percent from 4.7 percent;
e. Restaurants and Accommodation Services at 3.6 percent from 3.0 percent; and
f. Personal Care, and Miscellaneous Goods and Services at 3.7 percent from 3.5 percent.
On the other hand, slower annual increments were noted in the indices of Food and Non-Alcoholic Beverages at -1.4 percent from -1.1 percent, and Information and Communication at 0.9 percent from 1.0 percent. Meanwhile, Alcoholic Beverages and Tobacco, at 4.5 percent, and Financial Services, at 0.0 percent, retained its previous month’s inflation rate.

2. Davao Region Food Inflation
The region’s food inflation recorded a faster price decline at -1.9 percent in June 2025 from -1.4 percent in the previous month. In June 2024, the Food inflation was higher at 7.8 percent. (Table 3)
The main contributor to the downtrend in the region’s food inflation was the commodity group of Cereals and Cereal Products, at -12.3 percent compared to -10.7 percent. The following commodity groups also recorded slower inflation in June 2025 than in May 2025, namely Meat and Other Parts of Slaughtered Land Animals, at 5.2 percent from 5.6 percent; Fruits and Nuts at 2.3 percent from 4.1 percent; Sugar, Confectionery, and Desserts, at -1.4 percent from -1.5 percent; and Ready-made Food and Other Food Products n.e.c. at 3.1 percent from 4.8 percent
On the other hand, the indices of the following food commodity groups recorded faster annual growth rates during the month, namely:
Fish and Other Seafood, at 5.3 percent from 3.5 percent;
Milk, Other Dairy Products, and Eggs, at 5.9 percent from 5.4 percent;
Oils and Fats, at 16.3 percent from 15.8 percent; and
Vegetables, Tubers, Plantains, Cooking Bananas, and Pulses, at -2.5 percent from -4.0 percent.
3. Regional Inflation Rates
At the national level, the country's headline inflation increased to 1.4 percent from its previous month’s inflation at 1.3 percent. (Table 4)
Among the 18 administrative regions, the National Capital Region (NCR) had the highest inflation rate at 2.6 percent, followed by Region I (Ilocos Region), at 2.2 percent, and Cordillera Administrative Region (CAR) at 2.0 percent. On the other hand, Region XII (SOCCSKSARGEN) and BARMM recorded the lowest inflation rate at -0.9 percent. (Table 4 and Figure 2)


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Note: CPIs and inflation rates by province and selected cities are posted on the PSA website (https://openstat.psa.gov.ph/).
APPROVED FOR RELEASE:
RANDOLPH ANTHONY B. GALES
(Chief Statistical Specialist)
Officer-In-Charge
Regional Statistical Services Office 11
TECHNICAL NOTES
Consumer Price Index (CPI) The CPI is an indicator of the change in the average prices of goods and services commonly purchased by consumers.
Uses of CPI The CPI is most widely used in the calculation of the inflation rate and purchasing power of peso. It is a major statistical series used for economic analysis and as a monitoring indicator of government economic policy.
Computation of CPI The computation of the CPI involves consideration of the following important points:
a. Base Period Base year is a reference period, usually a year, at which the index number is set to 100. It is the reference point of the index number series. The CPI is rebased from the base year 2012 to the base year 2018.
b. Market Basket Market basket refers to a sample of goods and services commonly purchased by households. |
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c. Weighting System The weighting pattern uses the expenditures on various consumer items purchased by households as a proportion of total expenditure.
d. Formula The 2018-based CPI series uses the same method of computation as the 2012-based CPI series, which is Chained Laspeyres formula.
e. Geographic Coverage CPI values are computed at the national, regional, and provincial levels, and Highly Urbanized Cities.
Inflation Rate is the rate of change of the CPI expressed in percent. Inflation is interpreted in terms of the declining purchasing power of peso.
Headline Inflation refers to the rate of change in the CPI, a measure of the average standard “basket” of goods and services consumed by a typical family.
Purchasing Power of Peso shows how much the peso in the base period is worth in the current period. It is computed as the reciprocal of the CPI for the period under review multiplied by 100.
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