County’s inflation eased to 6.2 percent in July, down from 6.4 percent in June, as slower price increases in transport and selected services pulled the headline rate lower.
Average inflation for the first seven months of 2026 stood at 5.0 percent—still above the government’s 3.0 percent target and tolerance band.
Month-on-month, seasonally adjusted inflation held steady for the second straight month.
Core inflation also moderated, slipping to 4.2 percent from 4.4 percent in June. But inflation for the poorest 30 percent of households rose to 8.2 percent, reflecting persistent price pressures on basic goods.
Lower pump prices outside Metro Manila drove down transport inflation, while education, restaurants, and accommodation services also posted slower increases. Food inflation was mixed: meat and vegetables eased, but rice inflation climbed on higher logistics costs.
The July figure fell within the Bangko Sentral ng Pilipinas’ forecast range of 5.6 to 6.6 percent. The BSP said it remains ready to act if needed to bring inflation closer to the 3.0 percent target.
