Philippines Inflation Rate Jumps to 4.1%

The annual inflation rate in the Philippines climbed to 4.1% in March 2026, the highest level since July 2024, and well above 2.4% in February. The reading also exceeded expectations of 3.6% and surpassed the central bank’s 2–4% target, as well as its 3.1%–3.9% projection for March, driven by oil price shocks and unprecedented local currency depreciation. Transportation costs saw the largest surge, rising 9.9% (vs -0.3% in February), fueled by gasoline and diesel price spikes of 27.3% and 59.5%, respectively, which accounted for 54.8% of the overall inflation acceleration. Prices rose across nearly all subcategories, including food and non-alcoholic beverages (3% vs 1.8%), housing and utilities (4.5% vs 3.5%), clothing and footwear (2.6% vs 2.4%), and furnishings (3.1% vs 2.9%). On a monthly basis, the CPI jumped 1.4%, the largest gain since January 2023, well above February’s 0.2% rise. Meanwhile, annual core inflation also rose to 3.2%, the highest reading since April 2024.

The annual inflation rate in the Philippines rose to 2.4% in February 2026 from 2% in the previous month, matching market expectations. The latest figure marked the highest reading since January 2025, mainly driven by faster increases in prices for food and non-alcoholic beverages (1.8% vs 1.1% in January), furnishings, household equipment and maintenance (2.9% vs 2.3%), recreation, sport, and culture (4.3% vs 2.2%), and restaurant and accommodation services (4.4% vs 4%). On the other hand, costs continued to decline for transport (-0.3% vs -0.2%), while inflation softened for information and communication (0.7% vs 0.8%). On a monthly basis, consumer prices went up by 0.2% in February, slowing from a 0.8% gain in the preceding period. Meanwhile, core inflation, which excludes certain food and energy items, rose to 2.9%, marking the highest since July 2024, from 2.8% in the prior month.

The annual inflation rate in the Philippines rose to 2% in January 2026, exceeding both market forecasts and the previous month’s 1.8%. This also marked the highest reading since February, mainly driven by a sharp increase in housing and utility costs, which climbed to 3.3%, a fifteen-month high, from 2.5% in December. Prices also rose faster for furnishings, household equipment and maintenance (2.3% vs 1.9%), restaurants and accommodation services (4% vs 2.4%), and personal care, miscellaneous goods and services (2.6% vs 2.2%). In contrast, inflation softened for food and non-alcoholic beverages (1.1% vs 1.4%) and alcoholic beverages and tobacco (3.1% vs 3.3%), while transport costs declined for the first time in five months (-0.3% vs 0.3%). On a monthly basis, consumer prices increased by 0.8% in January, following a 0.9% gain in the preceding period. Core inflation, which excludes certain food and energy items, rose to 2.8%, the highest since July 2024, from 2.4% in December.