The inflation rate in the Philippines accelerated to 7.2 percent in April 2026, its fastest pace in three years, driven by the Middle East petroleum crisis that pushed up food, transport, and utility costs for Filipino households.

According to National Statistician and Philippine Statistics Authority chief Dennis Mapa, the country’s inflation rate rose to 7.2 percent last month from 4.1 percent in March 2026. In April 2025, inflation stood at 1.4 percent.

Mapa said the sharp increase was driven by higher prices of essential goods, particularly food and non-alcoholic beverages, which posted a 6 percent inflation rate.

He also cited the faster annual increase in the transport index, which climbed to 21.4 percent, as well as higher costs for electricity, gas, housing, and water, which rose to 8.2 percent from 4.7 percent in the previous month.

The higher inflation rate has heavily affected Filipino households, particularly low-income families. Food inflation among poor households climbed to 8.4 percent from 3.9 percent in March, while inflation outside Metro Manila increased to 8.5 percent from 4.3 percent.

The surge in inflation has also affected key macroeconomic sectors, including agriculture, finance, and the broader economy. For low-income households, the pressures are concentrated on basic necessities such as rice, fish, vegetables, transport, and utilities.

Meanwhile, despite the increase in inflation, Department of Economy, Planning, and Development Secretary Arsenio Balisacan said the government is intensifying interventions to address price pressures on food, energy, and transport and ensure the stability of domestic supply.

Balisacan also emphasized the importance of the Unified Package for Livelihoods, Industry, Food, and Transport (UPLIFT), saying the government is implementing comprehensive measures and financial assistance programs in response to the country’s economic challenges.

The Department of Energy is likewise exploring alternative energy sources to help secure a stable fuel supply as the Middle East conflict continues to affect global oil prices.

However, the Trade Union Congress of the Philippines called on the government to approve a P200 increase in the minimum wage, in line with House Bill No. 88 filed during the 20th Congress on June 30.

The group also urged lawmakers to reduce taxes for the middle class and hold hearings and plenary discussions on proposals seeking a wage hike and the removal of value-added tax on electricity as part of broader tax reform measures.

Amid rising global prices and the sharp increase in inflation, the purchasing power of P100 in 2018 declined to about P73 in April this year.