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Inflation Drops To 5-Year Low: Gov't Says 'We're Not Letting Our Guard Down' On Prices
Photo credit: DA
For the first time in over five years, inflation in the Philippines has cooled down to a refreshing low of 1.4% in April 2025—the lowest since November 2019. It’s a welcome breather for Filipinos, especially with food prices finally giving everyone some much-needed relief.

According to the Department of Economy, Planning, and Development (DEPDev), this slowdown is no fluke. They say it’s the result of months of consistent monitoring and targeted interventions, and they’re not planning to stop any time soon.

“We’re seeing real results from the policies we’ve been putting in place,” said Undersecretary Rosemarie Edillon. “But while this is great news, we can’t afford to be complacent. We’ll keep a close watch on prices, especially of essentials like food and fuel.”

What’s behind the drop?

The biggest driver: food inflation, which slowed dramatically to just 0.7% in April from 2.3% the previous month. Rice prices, which have been a major concern for many households, continued their steady descent—down a significant 10.9% from March. This marks the 10th straight month of rice prices dropping, thanks to lower local farmgate prices and cheaper imported rice.

More than just numbers

The average inflation rate from January to April 2025 now stands at 2.0%, right within the government’s target range of 2.0 to 4.0 percent. Still, Edillon says the focus isn’t just on the stats. “Our aim is for every Filipino family to feel this improvement—especially when it comes to everyday essentials.”

To make that happen, the Department of Agriculture (DA) is stepping up efforts to safeguard food supply, particularly for crops affected by the current extreme summer heat. From vegetables to poultry, the DA is closely tracking production and pricing to prevent sudden price spikes.

There’s also a push to bring affordable produce closer to communities. The DA recently signed an agreement with PHLPost to bring the popular KADIWA ng Pangulo stores to more areas by setting them up inside post offices. That means fresh, affordable goods could be just a trip to your neighborhood post office away.

Bigger vision, new name

As part of its transformation, the former National Economic and Development Authority (NEDA) has officially transitioned into DEPDev. The move, according to Edillon, gives the agency more muscle to align long-term strategies with everyday realities—like inflation, jobs, and access to basic goods.

“With DEPDev’s expanded role, we’re better equipped to plan for the future while staying rooted in the present challenges faced by Filipino families,” she said.

So while inflation is cooling off, the government says its focus is staying hot—keeping prices stable and making sure that every Filipino feels the impact where it matters most: at the checkout counter.

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