Inflation eased in August, but Filipinos still face high prices for food, housing, and transport

Headline inflation slowed to 6.1% in August from 6.2% in July, says PSA.

Filipino households are still paying more for everyday needs, from groceries and utilities to transportation, even as the country’s inflation rate eased slightly in August.

The Philippine Statistics Authority said headline inflation slowed to 6.1% in August from 6.2% in July. But that still means prices were rising at a much faster pace than a year earlier, when inflation stood at just 1.5%.

Inflation averaged 5.2% from January to August this year, compared with only 1.7% during the same period in 2025.

Much of the pressure came from expenses that households and businesses cannot easily avoid. Food and non-alcoholic beverages rose 4.6% in August, while housing, water, electricity, gas and other fuels climbed 7.9%.

Transport was even more expensive, with prices jumping 13.5% from a year earlier, up from 11.9% in July.

Together, food, housing and transport accounted for 75.5% of the country’s overall inflation in August, making them the biggest contributors to the 6.1% headline rate.

So while the latest figure brings a slight improvement, it does not mean prices are coming down. Groceries, utility bills and daily commutes can still cost more than they did a year ago.

Businesses are dealing with higher costs, too, particularly in transportation, utilities and food, which can put pressure on operating expenses and consumer prices.

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