Inflation in Central Visayas is expected to remain elevated in the coming months, driven by global geopolitical friction and the looming threat of an El Niño weather phenomenon, regional planning officials said Monday.

The Department of Economy, Planning and Development in Central Visayas (DepDev-7) noted in its first-quarter Regional Economic Situationer that escalating international risks, specifically conflicts involving the United States and Iran, alongside extreme weather, will likely prevent consumer prices from easing.

“Inflationary pressures are expected to remain elevated in the coming quarters,” the report stated.

According to DepDev-7, an El Niño drought could severely disrupt agricultural production and spike electricity demand for cooling. This would likely drive up power spot prices and consumer utility rates.

The region is uniquely vulnerable to these shocks because of its heavy reliance on inter-island food shipments, which exposes local markets to high transportation costs.

Central Visayas has recorded the highest inflation rate among the country’s 18 regions for eight consecutive months as of March.

During the first quarter of 2026, inflation in the region averaged 6.33 percent. This figure is more than double the 2.93 percent inflation rate recorded during the same period in 2025.

Officials attributed the massive surge to rising costs across transportation, energy, food and beverages, tourism, and services, compounded by global risks and currency fluctuations.

The prolonged high inflation has begun stifling regional growth, forcing real estate developers and investors into a “wait-and-see” stance.