INFLATION for the bottom 30 percent of income households in the Davao Region accelerated to 11.5 percent in June 2026, making the region the second hardest hit by rising consumer prices and adding pressure on low-income families.
Data from the Philippine Statistics Authority (PSA) showed Davao Region ranked second among the country's 18 administrative regions, behind Central Visayas, which posted 13.9 percent inflation. Caraga followed at 11.2 percent, while the Negros Island Region recorded the lowest rate at 4.8 percent.
The June inflation rate rose from 10.5 percent in May and reversed the 1.9-percent deflation recorded in June 2025. Average inflation for the first six months of 2026 reached 8.1 percent.
The PSA attributed the faster inflation mainly to higher costs for housing, water, electricity, gas, and other fuels. Inflation for the commodity group surged to 16.2 percent in June from 6.2 percent in May, making it the biggest driver of the month's acceleration.
Despite the sharp increase in housing and utility costs, food and nonalcoholic beverages remained the largest contributor to overall inflation, accounting for 62.6 percent, or 7.2 percentage points, of the June rate.
Housing, water, electricity, gas, and other fuels contributed 20.2 percent, or 2.3 percentage points, while transport accounted for 7.1 percent, or 0.8 percentage points.
Several commodity groups also posted faster annual price increases. Inflation for alcoholic beverages and tobacco rose to 5.6 percent from 5.1 percent, information and communication to 3.2 percent from 2.4 percent, recreation, sport, and culture to 7 percent from 6.7 percent, education services to 5.8 percent from 3.2 percent, restaurants and accommodation services to 6.6 percent from 5.8 percent, and personal care and miscellaneous goods and services to 4.7 percent from 4.6 percent.
Meanwhile, inflation eased in several commodity groups. Food and nonalcoholic beverages slowed to 12.6 percent from 13.3 percent, while transport decelerated to 12.7 percent from 14.5 percent. Clothing and footwear, as well as furnishings, household equipment, and routine household maintenance, also posted slower price increases.
Health inflation held steady at 6.1 percent, while financial services remained flat.
The PSA said the latest data showed that although food continued to account for the largest share of inflation, rising housing and utility costs increasingly strained household budgets. Higher electricity and fuel prices also tend to ripple through the economy by increasing transportation costs and the prices of goods and services.
Nationally, inflation for the bottom 30 percent income households eased to 8 percent in June from 8.4 percent in May, leaving Davao Region well above the national average. DEF
