Philippines: Inflation increases to a six-month high in July
August 7, 2012
In July, consumer prices added 0.31% over the previous month, which was below the 0.46% rise observed in June. The result mainly reflected a rise in prices for food. As a result, annual headline inflation rose from 2.8% in June to 3.2% in July, the highest level in six months. Annual average inflation, which is the reference rate used by the Central Bank as a guide for monetary policy, edged down from 3.9% in June to 3.7% in July. Finally, the core inflation index, which excludes the price volatility associated with items such as food and oil, added 0.55% over the previous month, driving annual core inflation up to 4.1% in July. The Central Bank expects inflation to settle within its target of 4.0% plus/minus 1% for this year and next.