DBM PRESS RELEASE
06 June 2023

The country’s inflation rate, or the pace of increase in the prices of goods and services, further went down to 6.1 percent in May 2023 from 6.6 percent in April, based on the report published by the Philippine Statistics Authority (PSA) today, 6 June 2023.

This is the fourth consecutive month of the slowdown, and also the lowest year-on-year inflation rate since July 2022, bringing the year-to-date average inflation to 7.5 percent.

Department of Budget and Management (DBM) Secretary Amenah F. Pangandaman welcomed the development, and expressed her optimism that the country shall continue to see a continuous inflation rate decline.

"This is a positive development. The economic team expects that our country's inflation rate shall continue to decline. Our kababayans can be assured that we will remain steadfast in implementing strategies to keep the inflation rate well within target," Budget Secretary Pangandaman said.

“This goes to show that the economic strategies of the administration of President Bongbong Marcos is on the right track. Our whole-of-government approach is working,” Sec. Pangandaman added.

To recall, President Ferdinand R. Marcos, Jr. signed, on 26 May 26 2023, Executive Order No. 28, creating the Inter-Agency Committee on Inflation and Market Outlook (IAC-IMO), which enhances the coordination and action of government agencies in managing inflation and mitigating the effects of rising commodity prices to the Filipino people.

According to the PSA report, the downward trend of the headline inflation was primarily caused by transport at -0.5 percent from 2.6 percent annual increase in the previous month, while food and non-alcoholic beverages also reflected a lower inflation rate of 7.4 percent from 7.9 percent in April 2023.

The third main source of the May 2023 inflation deceleration were restaurants and accommodation services, which registered slower inflation at 8.3 percent from 8.6 percent in April 2023.

###