MANILA, Philippines (Xinhua) - Inflation slowed to a four-year low of 2.1 percent in August on back of lower utility and fuel prices, the National Statistics Office (NSO) said Thursday
This was the lowest inflation growth posted since August 2009. The NSO said that the slower increment in the prices of food, alcohol and transport likewise eased the inflation in August.
The August inflation is within the local central bank's 1.9 to 2.7 percent inflation forecast for the month. Central Bank Governor Amando Tetangco Jr. expected inflation to remain benign owing to lower electricity costs.
The NSO said annual decrease of 0.3 percent was posted in housing, water, electricity, gas and other fuels index in August from 0.6 percent in July. A slower annual gain was also noted in food and non-alcoholic beverages index at 1.8 percent from 2.3 percent, alcoholic beverages and tobacco index, 31.0 percent from 31.1 percent, and transport index, 1.0 percent from 1.6 percent.
The NSO said average inflation for the last eight months was at 2.8 percent or below the central bank's three to five percent target for the whole year.