Gov’t seeks to preempt effects of weather disturbances on inflation

ABS-CBN News

Posted at Jul 05 2019 06:52 PM

Flooding hits Central Market in Manila on June 25, 2019. A downpour during the early morning flooded low-lying areas around Metro Manila days after the onset of the rainy season. Mark Demayo, ABS-CBN News/File

MANILA – The National Economic and Development Authority (NEDA) on Friday said the government would continue to implement “preemptive measures” to mitigate effects of weather disturbances on inflation.

Inflation eased to 2.7 percent in June from 3.2 percent in May, its lowest level in 22 months, government data showed.

 But NEDA said the government should beef up production and farm recovery programs to alleviate effects or the “possible onslaught” of 9 to 13 typhoons in the coming months and the El Niño phenomenon, which was expected to drag until August in some areas.

“We note that the prevalence of adverse weather conditions in the country remains an upside risk to inflation, especially with the start of the rainy season,” NEDA said.

“The government will continue putting in place preemptive measures to mitigate the impact of weather-related shocks and uncertainties in the international oil market,” it said.

Measures to protect the country from the spread of the African swine fever are also being implemented to moderate its effects on inflation, NEDA said.

-- with a report from Bruce Rodriguez, ABS-CBN News