Philippine Inflation Eases To 5.4%, Lowest In 13 Months

(RTTNews) - The Philippines' consumer price inflation eased further in June to the lowest level in just over one year, largely driven by a slowdown in prices for food products and a fall in transport costs, data from the Philippine Statistical Authority showed on Wednesday.

The consumer price index, or CPI, climbed 5.4 percent year-over-year in June, slower than the 6.1 percent rise in May. Meanwhile, economists had forecast inflation to ease to 5.5 percent.

Moreover, this was the weakest inflation rate since May last year, when prices had risen the same 5.4 percent.

Nonetheless, the inflation was still above the central bank's target range of 2 to 4 percent.

The core inflation rate, which excludes prices of selected food and energy items, also slowed to 7.4 percent in June from 7.7 percent in May.

The annual price growth for food and non-alcoholic beverages moderated to 6.7 percent in June from 7.4 percent a month ago. Similarly, utility costs rose at a slower rate of 5.6 percent versus a 6.5 percent gain in May.

Meanwhile, transport costs were 3.1 percent lower compared to last year.

On a monthly basis, consumer prices edged up 0.2 percent in June, in line with expectations.