Manila: Malaca±ang on Thursday welcomed the further easing of inflation in July, saying it reflects the administration's efforts to rein in price pressures while remaining watchful of risks posed by geopolitical tensions and adverse weather.

According to Philippines News Agency, Palace Press Officer Claire Castro stated that headline inflation slowed to 6.2 percent in July from 6.4 percent in June, driven mainly by slower non-food inflation while food inflation remained stable. "This signals that overall price pressures are gradually moderating," Castro noted.

The Palace expressed satisfaction with these developments but emphasized the need for continued vigilance. Castro highlighted ongoing concerns, including geopolitical tensions in the Middle East and the effects of El Ni±o, which continue to pose risks to food and energy prices.

Moreover, the Palace reported that inflation in the National Capital Region decreased further to 4.4 percent from 4.9 percent in June, attributed to slower increases in housing-related costs. They also noted a reduction in transport costs as fuel price pressures moderated, with slower inflation for diesel and gasoline helping to temper transportation expenses.

In addition, Malaca±ang pointed to improving food prices, noting that pork and chicken became cheaper due to ample supply. Vegetable inflation also eased as prices of eggplant, garlic, and onions continued to decline. The Palace added that rice prices have stabilized further, with month-on-month rice prices falling despite elevated annual inflation due to base effects.