A. INFLATION RATES FOR ALL ITEMS

Headline Inflation

The Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) registered a headline inflation of -1.3 percent in April 2025. In March, the inflation rate was recorded at 0.2 percent. In comparison, the inflation rate in April 2024 was higher at 6.3 percent. Basilan, Lanao del Sur, Maguindanao, Sulu and Cotabato City, an Independent Component City (ICC), showed lower inflation rates compared to their previous month’s rates. While Tawi-Tawi posted higher inflation rates than in the previous month. (See Table 1 and Figure 2.)

Main Drivers to the Down Trend of the Headline Inflation

The overall inflation in BARMM was posted at negative 1.3 percent in April 2025 and was primarily driven by the decrease in the index Food and non-alcoholic beverages which decreased at -3.0 percent in April 2025 from -0.7 percent in the previous month. Another contributor to the down trend of inflation was the Restaurant and Accommodation Services sector, which also decreased at 1.4 percent.

Also, the following commodity groups shows lower inflation in April 2025:

a.   Clothing and Footwear, 0.7 percent from 0.8 percent;
b.   Housing, Water, Electricity, Gas and Other Fuels, 1.0 percent from 1.3 percent;
c.   Furnishings, Household Equipment and Routine Household Maintenance 0.8 percent from 1.7 percent;
d.   Health, 2.7 percent from 3.5 percent;
e.   Recreation, Sports and Culture, 1.1 percent from 1.3 percent;
f.    Personal Care, Miscellaneous Goods and Services, 1.3 percent from 2.4 percent.

Meanwhile, the following commodity group recorded increase in its inflation rate compared to the previous month:

a.   Alcoholic Beverages and Tobacco, 0.9 percent from 0.3 percent;
b.   Transport, 0.9 percent from -0.5 percent;
c.   Information and Communication, 0.2 percent from 0.1 percent.

On the other hand, the following commodities remain the same as their March 2025 rates: (Table 2)

a.   Education Services, 5.0 percent;
b.   Financial Services, 0.0 percent;

B. INFLATION RATES FOR FOOD ITEMS

For food commodities, inflation decreased to -3.4 percent in April 2025 from -0.9 percent in the previous month. In April 2024, inflation of food items was higher at 7.6 percent. (Table 3)

The decrease in the region's food inflation was primarily driven by the lower index for Cereals which has decreased to -12.3 percent during the month, compared to a -7.6 percent in March 2025. This was followed by the Meat and Other Parts of Slaughtered Land Animals, which decreased to -1.4 percent from 3.5 percent in the previous month. Additionally, the index for Fish and Other Seafood decreased to 0.4 percent in April 2025, from 2.6 percent in March 2025.

Also, food groups of Ready-Made Food and Other Food Products N.E.C., Vegetables, Tubers, Cooking Bananas and Pulses, Sugar, Confectionery and Desserts, and Fruits and Nuts also decreased to -0.2 percent, 1.2 percent, -0.5 percent, and 3.5 percent from 0.9 percent, 2.5 percent, -0.1 percent and 4.2 percent in the previous month, respectively.

Moreover, an increase in rates was also observed in the food group for Milk, Other Dairy Products, and Eggs which increased to 3.6 percent from 3.5 percent in March 2025. Similarly, the rate of Oils and Fats also increased to 3.7 percent from 3.1 percent in March 2025.

C. PURCHASING POWER OF PESO

In BARMM, the Purchasing Power of the Peso (PPP) is at PhP 0.80 as of April 2025. (Figure 2) 
                   

TECHNICAL NOTES:

Consumer Price Index (CPI)

The CPI is an indicator of the changes in the average retail prices of a fixed basket of goods and services commonly purchased by households relative to a base year.

Uses of CPI

The CPI is most widely used in the calculation of the inflation rate and purchasing power of peso. It is a major statistical series used for economic analysis and as a monitoring indicator of government economic policy.

Computation of CPI

The computation of the CPI involves consideration of the following important points:

    a.    Base Period
    The reference date or base period is the benchmark or reference date or period at which the index is taken as equal to 100.

    b.    Market Basket
    A sample of the thousands of varieties of goods purchased for consumption and services availed by the households in the country selected to     represent the composite price behavior of all goods and services purchased by consumers.
    
    c.    Weighting System
    The weighting pattern uses the expenditures on various consumer items purchased by households as a proportion to total expenditure.

    d.    Formula
    The formula used in computing the CPI is the weighted arithmetic mean of price relatives, the Laspeyre’s formula with a fixed base year     period (2018) weight.

    e.    Geographic Coverage
    CPI values are computed at the national, regional, and provincial levels, and for selected cities.

Inflation Rate

the rate of change of the CPI expressed in percent. Inflation is interpreted in terms of the declining purchasing power of the peso.

Headline Inflation

refers to the rate of change in the CPI, a measure of the average standard “basket” of goods and services consumed by a typical family.

Purchasing Power of Peso

shows how much the peso in the base period is worth in the current period. It is computed as the reciprocal of the CPI for the period under review multiplied by 100.

Note: The dataset used in the special release is exclusive for BARMM provinces including Cotabato City and excluding Special Geographic Area (SGA).

Approved for release:

(SGD)
ENGR. AKAN G. TULA
OIC-Regional Director

_EDFE/BMB/AAA