Iloilo: Both the province and city of Iloilo experienced rising inflation rates in August, as reported by the Philippine Statistics Authority (PSA) on Thursday. In a press conference, PSA Chief Statistical Specialist Engr. Jerry Dolutan revealed that Iloilo province's inflation rate increased to 9.7 percent from 9.3 percent in July, while Iloilo City's rate rose to 7.6 percent from 7.2 percent.

According to Philippines News Agency, the province's average inflation was noted at 6.4 percent, whereas the city's was recorded at 5.3 percent. The provincial inflation uptick was primarily driven by sectors such as housing, water, electricity, gas, and other fuels, which saw inflation rise to 10.8 percent from 9.6 percent in the previous month. Additionally, transportation inflation escalated to 18.9 percent from 17.2 percent, and health sector inflation climbed to 7.5 percent from 3.8 percent.

Key contributors to these increases included electricity at 34.1 percent, diesel at 55.9 percent, dental preventive services at 17.0 percent, and medicines, vaccines, and other pharmaceutical preparations at 6.6 percent. In Iloilo City, the inflation rise was driven by food and non-alcoholic beverages, which increased from 5.4 percent to 6.6 percent; housing, water, electricity, gas, and other fuels, which rose from 10.3 percent to 10.6 percent; and health, which went up from 8.2 percent to 9 percent.

Commodity inflation in Iloilo City was further fueled by cereals and other cereal products at 23.0 percent, fish and other seafood at 8.2 percent, liquefied hydrocarbons at 19.5 percent, and medicines, vaccines, and other pharmaceutical preparations at 7.7 percent. The common commodities driving this inflation were primarily rice and electricity.

Dolutan acknowledged that government support for fuel and rice assistance helped mitigate the price impact to some extent. However, a reduction in palay production during the second quarter also contributed to rising rice prices. He cautioned that without government intervention, there is a potential for further price increases. Amidst the ongoing Middle East crisis, Dolutan advised consumers to be conscious of their consumption, as fluctuations in fuel prices could have secondary effects on other commodities.