Inflation in the Philippines slowed for the fourth consecutive month in May, reaching 6.1%, according to data released by the Philippine Statistics Authority (PSA) on Tuesday. It is down from 6.6% in April and 7.9% in March.

The decline was caused by lower prices in transportation, food, restaurants, and hotels. The transport index fell by 0.5% in May, while the food index fell by 0.4%. The restaurant and accommodation services index fell by 0.3%.

Core inflation, which excludes volatile food and energy prices, also slowed in May, reaching 7.7%. It is down from 7.9% in April.

The decline in inflation is a positive sign for the Philippine economy. However, inflation remains above the central bank’s target of 2% to 4%. The Bangko Sentral ng Pilipinas (BSP) has said that it will continue to monitor inflation closely and take appropriate action to keep inflation under control.

Here are some of the key drivers of the decline in inflation:

• Lower fuel prices: The price of fuel has been declining in recent months due to several factors, including the global economic slowdown and the rise of renewable energy.
• Increased supply of food: The supply of food has increased in recent months due to good harvests and the government’s efforts to boost agricultural production.
• Weak demand: Domestic demand has been weak in recent months due to slow economic growth. This has helped to keep a lid on prices.

The decline in inflation is a welcome development for the Philippine economy. However, the BSP will need to remain vigilant to ensure that inflation does not rise again in the coming months.