Philippines' inflation rose to 2.0% in January 2026, according to the Philippine Statistics Authority (PSA), marking the second consecutive month of rising consumer prices. In December 2025, inflation was recorded at 1.8%, higher than the previous month.
According to the PSA, the largest contributor to the increase in inflation was housing, water, electricity, gas, and other fuels, which rose to 3.3% from 2.5% in December 2025. Prices also increased in restaurants and accommodation services, which reached 4.0% from 2.4%.
Some other products and services whose prices are rising rapidly are:
Clothing and shoes: 2.3% from 2.2%
Furnishings and home appliances: 2.3% from 1.9%
Health: 3.0% from 2.7%
Information and communication: 0.8% from 0.7%
Recreation, sports, and culture: 2.2% from 2.0%
Personal care and miscellaneous services: 2.6% from 2.2%
Meanwhile, inflation slowed for several sectors: food and non-alcoholic beverages (1.1% from 1.4%), alcoholic beverages and tobacco (3.1% from 3.3%), and education services (2.8% from 3.0%). The PSA also said that core inflation, or the inflation rate that excludes volatile prices, was at 2.8%.
When it comes to food, food inflation decreased to 0.7% in January 2026 from 1.2% in the previous month. This was due to a slower increase in the prices of vegetables, tubers, bananas, and pulses (3.3% from 11.6%). However, some foods still increased, such as flour, bread, pasta, milk and eggs, fruit, and ready-made food, which showed slightly higher inflation.
