PHILIPPINE INFLATION RATE SLIGHTLY QUICKENS TO 3.8 PCT IN APRIL

MANILA, May 7 (Bernama-Xinhua) -- Year-on-year inflation in the Philippines rose to 3.8 per cent in April from 3.7 per cent in March due to the continued increases in food and transport prices, the Philippine Statistics Authority (PSA) said on Tuesday, reported Xinhua.

In a news conference, PSA head Dennis Mapa said the uptrend in overall inflation in April was primarily driven by the higher year-on-year increase in food and non-alcoholic beverages, which increased to 6 per cent from 5.6 per cent in March.

Rice is one of the top contributors to April's overall inflation. The major staple in Filipino households recorded a lower inflation rate of 23.9 per cent in April, down from 24.4 per cent in March. Despite the decline, Mapa said rice remains the primary driver of inflation, accounting for 2.1 percentage points.

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The faster annual growth rate of the transport index at 2.6 per cent in April was another contributor to the inflation rise, he added.

The April inflation rate brings the national average in the first four months to 3.4 per cent.

Mapa said the core inflation, excluding selected food and energy items, slowed to 3.2 per cent in April from 3.4 per cent in March.

National Economic and Development Authority Secretary Arsenio Balisacan said the El Nino and "global disruptions" exert upward pressure on food prices in April.

"While the increase in April inflation remains within the government's target range, it underscores the need for vigilance," Balisacan said.

The Asian Development Bank forecast the Southeast Asian country's inflation to moderate to 3.8 per cent in 2024 and 3.4 per cent in 2025, falling within the 2-4 per cent target range set by the Philippine government.

-- BERNAMA-XINHUA