April inflation hits three-year-high, overshoots target
By Robina Asido
The highest inflation rate in the last three years was recorded in April with 4.9 percent, overshooting the government's target of two to four percent for 2022.
''This is the highest recorded inflation since January 2019,'' said the Philippine Statistics Authority (PSA) in its website. '' It added that ''average inflation for the first four months of the year stood at 3.7 percent."
April inflation was at the upper end of the Bangko Sentral ng Pilipinas projection of 4.2 percent to 5 percent.
''Inflation could settle above the government’s target range in 2022, before decelerating back to target in 2023 as supply-side pressures ease,'' the BSP said in a statement.
''Upside risks over the near term continue to emanate from the shortage in domestic food supply as well as from the potential impact of higher oil prices on transport fares,'' the central bank said.
The PSA said the surge in the April inflation was brought by the "higher annual increase in the index for food and non-alcoholic beverages at 3.8 percent; transport, 13 percent; and housing, water, electricity, gas, and other fuels, 6.9 percent."
Also contributing to the increase is the alcoholic beverages and tobacco at 5.9 percent; clothing and footwear at 2 percent; recreation, sport and culture at 1.6 percent; and personal care, and miscellaneous goods and services at 2.3 percent.
It added that the food index increased by four percent in April from 2.8 in the previous month. However, the food index in April 2021 is higher by 4.1 percent.
The data also shows that the "annual growth rate of the vegetables, tubers, plantains, cooking bananas and pulses index went up to 9.2 percent during the month, from -0.1 percent in the previous month" while "double-digit growth rate was observed in oils and fats index at 11.7 percent."
Food groups that show higher annual increments were "flour, bread and other bakery products, pasta products, and other cereals at 4.1 percent; Meat and other parts of slaughtered land animals at 4.2 percent; Fish and other seafood at 5 percent; Milk, other dairy products, and eggs at 1.1 percent; Sugar, confectionery and desserts at 7.3 percent; and ready-made food and other food products at 2.9 percent.'' DMS
