The headline inflation rate at the provincial level decreased to 0.5 percent in June 2024, or a change of -1.4 percentage points from the inflation rate in the previous month. In the same reference month of the previous year, it was posted at 7.6 percent. The downtrend of inflation in June 2024 was mainly driven by the combined deceleration in the indices for selected commodity groups such as food and non-alcoholic beverages at -2.0 percent, transport at -0.5 percent, and personal care, and miscellaneous goods and services at 3.7 percent. 

Moreover, lower annual gains were also noted in the inflation rates of the following
commodity groups when compared with the annual figures from the previous month:
• Recreation, sport and culture, 5.7%;
• Alcoholic beverages and tobacco, 1.3%;
• Health, 0.0%; and,
• Information and communication, 0.9%. 

On the other hand, higher annual increments were observed in the inflation rates of the
following commodity groups, as follows:
• Clothing and footwear, 3.4%;
• Housing, water, electricity, gas and other fuels, 3.0%; and,
• Furnishings, household equipment and routine household maintenance, 4.3%. 

Meanwhile, the indices of the following commodity groups maintained compared with the
annual figures from the previous month:
• Education services, 3.2%;
• Restaurants and accommodation services, 3.1%; and,
• Financial services, -1.4%.

The province’s food index deccelerated to -2.2 percent in June 2024, from 1.2 percent in the previous month. This was equivalent to a change of 3.4 percentage points. In June 2023, the food inflation rate was higher at 13.9 percent. Moreover, the downtrend in food inflation was mainly due to the deceleration in the index of rice at 20.5 percent. 

Moreover, the annual indices of the following food items exhibited slower growth when
compared with the annual figure from the previous month, as follows:
• Corn, 2.2%;
• Flour, Bread and Other Bakery Products, Pasta Products, and Other Cereals, 3.4%;
• Fish and other seafood, -20.5%;
• Milk, other dairy products and eggs, -0.8%;
• Sugar, confectionery and desserts, -1.6%; and,
• Ready-made food and other food products N.E.C., 1.7%.

On the other hand, the annual indices of the following food items exhibited higher growth
when compared with the annual figure from the previous month, as follows:
• Meat and other parts of slaughtered land animals, -2.3%;
• Oils and fats, -5.8%;
• Fruits and nuts, -11.0%; and,
• Vegetables, tubers, plantains, cooking bananas and pulses, -3.9%.

PURCHASING POWER OF PESO 

The Purchasing Power of Peso (PPP) in Marinduque increased at 0.77 in June 2024 from 0.76
in May 2024. In comparison, the value of PPP in June 2023 was also at 0.77.

TECHNICAL NOTES

• Consumer Price Index is an indicator of the change in the average prices of a fixed basket
of goods and services commonly purchased by households relative to a base year.

• Market Basket is a sample of goods and services, which is meant to represent the totality
of all the goods and services purchased by households relative to a base year.

o To determine the commodities that will form the market basket for the 2018-based
CPI, the Survey of Key Informants (SKI) was conducted in March 2021. The
survey, which was conducted nationwide to store managers, sellers or proprietors,
obtained information on the most commonly purchased of goods and availed of
services by the households.
o The commodities in the 2018-based CPI market basket are grouped/classified
according to the 2020 Philippine Classification of Individual Consumption
According to Purpose (PCOICOP) which is based on the United Nations COICOP.
Meanwhile, the commodities in the 2012-based CPI market basket used the 2009
PCOICOP version of classification of commodities.

• 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 base year
2012 to base year 2018.

• Inflation Rate is the annual rate of change or the year-on-year change in the Consumer
Price Index (CPI). 

• Purchasing Power of Peso is a measure of the real value of the peso in a given period
relative to a chosen reference period. It is computed by getting the reciprocal of the CPI
and multiplying the result by 100

Inflation Rate (reference month, reference year)
= [(CPI (reference month, reference year) - CPI (reference month, previous year)) / CPI (reference month, previous year)] x 100%
For example,
INFLATION RATE (June 2024) = [(CPI (June 2024) - CPI(June 2023)) / CPI(June 2023)] x 100%
= [(129.9 – 129.3) / 129.3] x 100%
= (0.6 / 129.3) x 100%
≈ 0.5%

(SGD)GEMMA N. OPIS
Chief Statistical Specialist
PSA PSO Marinduque

GNO/SJRDLC