Inflation jumps to 4.1% in March, reversing slowdown trend

‎Inflation in the Philippines accelerated to 4.1 percent in March, reversing previous months of easing and putting renewed pressure on the cost of living as fuel and food prices surged

‎The latest data from the Philippine Statistics Authority (PSA) showed an increase from 3.4 percent in February, marking a significant uptick driven largely by higher prices of essential goods.

‎Food and non-alcoholic beverages remained the biggest contributors to inflation, while transport costs also rose due to increasing global oil prices linked to tensions in the Middle East.

‎Economic managers said the rise in inflation was mainly due to supply-side pressures, particularly the continued increase in global fuel prices, which directly affect domestic transport and production costs. 

Claire Dennis Mapa, National Statistician and PSA Chief, explained “the main contributor to the higher transport inflation in March 2026 was the increase in the prices of gasoline and diesel from a decline seen in February 2026.” 

She also noted that the Philippines remains highly vulnerable to global oil price fluctuations due to its reliance on imported fuel, making domestic prices sensitive to changes in the international market.

‎Despite the increase, inflation remains within the government’s target range of 2 to 4 percent, though the latest figure slightly exceeds the upper threshold.

‎The Bangko Sentral ng Pilipinas (BSP) earlier said it continues to closely monitor inflation trends and is prepared to take appropriate policy action to ensure price stability.

“The central bank continues to monitor developments in inflation closely and is ready to act if necessary to ensure price stability,” the Bangko Sentral ng Pilipinas said.

‎Filipinos are already feeling the impact of rising prices.

‎“Ramdam na namin ang pagtaas ng presyo ng bilihin, lalo na pagkain at pamasahe,” Alma Biore, housewife and resident from Davao, expressed in an interview.Many families are now adjusting their daily spending and cutting back on non-essential items to cope with rising costs.

‎“Kailangan ko nang magtipid dahil halos lahat tumaas na” said Ivan Biore, a Certified Public Accountant from Davao.

‎The uptick in inflation highlights the continued challenge of balancing global economic pressures with domestic price stability, as rising fuel and food costs strain household budgets.