The Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) experienced a notable decline in its inflation rate, falling to 1.5% in September 2024 from 3.7% in August, according to the Philippine Statistics Authority (PSA) report released on September 11, 2024. This makes BARMM’s inflation the fourth lowest among the regions in the country.
Nationally, the inflation rate also saw a decrease, with the Philippines’ overall headline inflation dropping to 1.9% in September, compared to 3.3% in August.
Among the regions, the Ilocos Region (Region 1) recorded the lowest inflation rate at 0.6%, followed by the CARAGA Region (Region 13) with 1.0%, and the Cordillera Administrative Region (CAR) at 1.2%. On the other end of the spectrum, Western Visayas (Region 6) posted the highest inflation rate at 3.4%.
PSA-BARMM Regional Director, Engr. Akan Tula, attributed the deceleration of inflation in the region to lower prices in key sectors, including Housing, Water, Electricity, Gas, and other fuels, as well as Restaurants and Accommodation Services, and Food and Non-Alcoholic Beverages.
“The top five contributors to the inflation drop include full-service restaurants, rental costs, freshwater fish, fuelwood, and eggs,” said Engr. Tula.
When asked about the potential effects of increased government spending to combat inflation, Tula explained that its impact could vary. “Government spending can either increase or decrease inflation. Higher spending generally boosts demand, leading to inflation, but if the spending is focused on improving services and productivity, it can actually lower both demand and inflation,” he said.
Addressing suggestions to print more money as a solution, Tula dismissed the idea, stating that it would only increase demand without boosting supply, exacerbating inflation. He emphasized that sound economic policies focusing on balancing supply and demand are essential in managing inflation.
Tula also pointed out the gradual decline in purchasing power as inflation rises, urging the public to stay informed. “Knowing the inflation rate allows you to adjust, offering guidance on spending and budgeting,” he added.
In BARMM’s provinces, Sulu recorded the highest inflation rate in September at 3.2%, followed by Maguindanao at 1.9%, Lanao del Sur at 1.2%, Basilan at -0.1%, and Tawi-Tawi with the lowest rate at -0.8%.
Cotabato City also saw a decline in inflation, with its rate dropping to 2.9% in September from 5.1% in August.
For 30% income households in BARMM, inflation for September 2024 stood at 1.4%. The region’s average inflation rate from January to August 2024 was recorded at 4.7%.
