Finance Secretary Ralph G. Recto underscored the government’s strong commitment to protecting the country’s poorest households, keeping headline inflation low at 1.7% and only -0.4% for the bottom 30% in October through sustained measures to stabilize prices and maintain economic momentum.
The October headline inflation rate held steady from the previous month and was well below the 2.3% recorded in the same period last year. Inflation for the bottom 30% of households also fell for the fifth straight month and was a sharp reversal from 3.4% inflation a year ago.
This brought the year-to-date average inflation to 1.7%, far lower than the government’s target range of 2.0% to 4.0% for the year.
The sustained low inflation gives the Bangko Sentral ng Pilipinas (BSP) more room to cut its policy interest rates, which in turn could boost household spending and economic growth.
“Patunay po ito na epektibo ang ating pagtutulungan para mapanatiling sapat ang suplay ng pagkain at abot-kaya ang mga pangunahing bilihin para sa ating mga kababayan,” Secretary Recto said.
“While this is a welcome development, we remain watchful of possible risks ahead, such as weather disturbances, external market factors, and other conditions that could affect prices,” he said.
Food inflation eased further to 0.3% in October, from 0.8% in September and 3.0% a year ago.
Rice prices, in particular, continued to decline. It stood at an average of PHP 43.92 per kilogram (kg) in October 2025, close to the PHP 41.67 level seen in January 2022, just before global supply chain disruptions from the Russia-Ukraine war began.
The sharp drop reflects the government’s decisive and coordinated actions, including the reduction of the maximum suggested retail price (MSRP) for imported rice to PHP 43/kg by July 2025; the continuous rollout and expansion of the “Benteng Bigas, Meron Na!” (BBM Na!) rice program, and the lowering of the tariff to 15% from 35% in July 2024.
Government’s sustained measures to stabilize prices and ensure the adequate supply of essential goods
The national government remains steadfast in implementing a whole-of-government approach to maintain price stability and ensure the availability of affordable food in the market.
To boost agricultural production and keep food prices affordable, the Department of Agriculture (DA) has rolled out vital assistance for farmers and fisherfolk, such as cold storage facilities, mobile soil testing labs, and expanded input support programs.
The DA also launched a PHP 3.6-billion Mega Food Hub in Clark, Pampanga, and has taken decisive actions, including setting a minimum farmgate price for hogs and recommending higher pork tariffs to protect local producers.
To strengthen regional cooperation, the Philippines signed a new Agriculture and Fisheries Cooperation Agreement with Brunei to enhance food security, trade, and sustainable development in the region.
The government likewise deployed extensive agricultural support, emergency food and cash assistance, and price-stabilization measures to aid communities affected by the Davao and northern Cebu earthquake and Tropical Cyclones Paolo, Ramil, and Tino.
Moreover, the government is expediting financial assistance to vulnerable sectors through the Pantawid Pasada Program and fuel subsidy projects for farmers and fisherfolk.
The Department of Energy (DOE) also continues to implement key measures to strengthen the country’s energy security, resilience, and investment readiness.
To further diversify the energy mix, the DOE also issued a framework for the country’s first commercial nuclear power plant to attract private investment and enhance long-term supply stability.
Supporting the clean energy transition, the DOE will hold a Green Energy Auction (GEA) in January 2026 for waste-to-energy (WTE) projects in Metro Manila and other major urban centers. This initiative aims to convert solid waste into electricity, reduce power costs, and advance renewable energy adoption.
President Ferdinand R. Marcos Jr. also announced eight new Petroleum Service Contracts covering key basins nationwide, representing USD 207 million in exploration commitments to develop petroleum and hydrogen resources and bolster domestic energy supply.
Complementing these efforts, the Energy Regulatory Commission (ERC) has proposed lifting capacity limits on new power plants to accommodate larger generating units, improve grid reliability, and stabilize electricity prices amid growing demand.
Following the APEC Summit in South Korea, President Marcos, Jr. secured new energy investments and partnerships with major foreign firms to boost clean and reliable power generation, reinforce energy infrastructure, and advance the country’s transition toward a more secure and sustainable energy future.
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DOF HEARTS Series
This series showcases how the DOF is funding the nation’s HEARTS (H-health, E-education, A-agriculture and environment, R-roads and infrastructure, T-technology, and S– security and social protection) to bring us to Bagong Pilipinas.
