The rate of increase in consumer prices picked up for the second straight month in July as the economy gradually reopens amid easing quarantine protocols.
The headline inflation clocked in at 2.7 percent last month, faster than the 2.5 percent in June and 2.4 percent in the same month last year, data from the Philippine Statistics Authority (PSA) showedon Wednesday.
“The acceleration in the overall inflation was mainly caused by the jump in the inflation of the transport index,” the PSA said.
In July, average transport cost quickened by 6.3 percent from 2.4 percent in the previous month. In particular, tricycle fare accelerated to 33.9 percent, while ferry fare jumped 27.7 percent, and domestic airfare rose 12.6 percent.
But despite the uptick, the July inflation remained within Bangko Sentral ng Pilipinas’ forecast range of 2.2 percent to 3.0 percent.
Last month’s actual inflation brought the country’s first seven-month average at 2.5 percent, well within the government's target of 2.0 percent to 4.0 percent.