JUAN’S PLIGHT PH Economy hits 6.9% inflation rate

BY KJETIL JOSTH ACIELO

Philippines’ inflation rate in the last six years

Ferdinand “Bongbong” Marcos Jr. has been sworn in as the country’s new president following the National Elections which was held in May.

Marcos amassed a total of 31,629,783 votes or 58.77% of the ballots cast. Meanwhile, his running mate, Davao City Mayor and presidential daughter Sara Duterte was declared new vice president after garnering a total of 208,417 or 61.53% official votes.

He stated that he wants to “do well” and vowed that his administration will be one that “strives for perfection.” “I ask you all pray for me. Wish me well. I want to do well. Because when a president does well, the country does well. And I want to do well for this country,” he added.

Marcos is the son and namesake of the Philippines’ late president and dictator, President Ferdinand Edralin Marcos Sr., was sworn in by Supreme Court Chief Justice Alexander Gesmundo at the National Museum of the Philippines in the City of Manila on June 30.

In his inaugural address, Marcos vowed to fulfill his mandate to serve and protect fellow Filipinos. “This is a historic moment for us all,” he said.

“You picked me to be your servant to enable changes to benefit all. I fully understand the gravity of the responsibility that you have put on my shoulders. I do not take it lightly, but I am ready for the task,” he emphasized. This year’s elections were filled with controversies, from networks of disinformation influencing the vote to anomalies within precincts and the buildup towards the elections. Marcos Jr. was the top beneficiary of electionrelated disinformation spreading online, while his political rival Vice President Leni Robredo was the top target according to a study of the factchecking initiative Tsek.ph.

Meanwhile, critics levelled accusations that his social media campaign was rife with misinformation and whitewashed atrocities under his father’s rule. He has denied these allegations.

Meanwhile, critics said that his social media campaign was full of false material which covered up the atrocities committed under his father’s rule. He has refuted these charges. C

The Philippine economy has recently hit a 6.9% inflation rate last September 2022, exceeding the Reuters forecast of 6.7% and overshadowing the Bangko Sentral ng Pilipinas (BSP) 2-4% target, the highest in four years, according to the Philippine Statistics Authority (PSA), this averaged the inflation rate from January to September 2022 at 5.1%.

In a statement released by the BSP, increased electricity rates, prices of food and commodities, and peso depreciation to the United States Dollar rate to P59.00 on October 3 raised inflation rates.

“Looking ahead, the BSP will continue closely monitoring emerging price development and enable timely interventions to prevent further broadening of price pressures following the BSPs price stability mandate,” added BSP.

During a briefing, National Statistician Dennis Mapa pointed out that the food and nonalcoholic beverage prices grew by 6.9% in July from 6.0% in June. Fish and other seafood rose to 9.2%. Meats and poultry by 9.9%, and Sugar, Confectionery, and Desserts by 17.6%.

Mapa cited that among the factors that escalated inflation were the soaring costs of fuel – 45.4% for gasoline, 91.3% for diesel, and 7.1% in public transport charges. In addition to commodities and fuel, restaurant and accommodation services were up at 3.4 percent.

Mapa comments that crop damage from Typhoon Karding inflation rates could further hasten in October, consistent with PSA expectations.

“Inflation will remain high for the rest of the year unless oil prices come down and offer a reprieve in the second half of the fiscal year. The country imports all its crude oil, whose prices have soared dramatically in recent months,” said Mapa, adding that the crude oil import prices also contributed to the widening trade deficit. On the other hand, Finance Secretary Benjamin Diokno said that the government is doing its “best” to clamp down on the country’s inflation rate by the first quarter of 2022 and that inflation would taper off by the last quarter.

During an annual reception for the banking industry last September, the finance chief noted that with secondary effects addressed, inflation eventually stabilizes. These secondary effects refer to the demand for higher wages in response to higher prices.

“The government has already adjusted the minimum wage for workers to cope with the rising prices. In addition, the government would increase output and import goods if necessary,” according to Diokno.

Socioeconomic Planning Secretary Arsenio Balisacan assured that the National Economic and Development Authority remains resolute in ensuring food security and affordability and reducing transport and logistics costs to prevent further inflation spikes.

“It is our urgent priority to ease price pressures and preserve the public’s purchasing power through implementing programs that will help Filipinos cope with the effects of a higher inflation rate,” Balisacan said.C