Gov’t efforts to control inflation are ‘not working,’ says IBON Foundation

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MANILA, Philippines — Research group IBON Foundation reports the government’s measures to control inflation are “not working,” citing rapid increases in the prices of rice.

On March 5, the Philippine Statistics Authority (PSA) reported a 3.4 percent inflation rate for February 2024, higher than the January 2024 2.8 percent inflation rate.

According to the group, the government should repeal the Rice Tariffication Law to curb the prices of the country’s staple food.

“Particularly for the country’s staple, the Marcos government should rescind its rice liberalization law that has only led to higher rice prices,” IBON suggested in its press release.

The PSA added rice prices accelerated to 23.7 percent, which was the fastest in 15 years.

“IBON observed that rice prices have only continued to increase since the Rice Tariffication Law was enacted in February 2019, contrary to government claims that the law would usher in cheaper rice,” the group noted.

IBON Foundation added the government should stop the rice import liberalization, and give wage hikes and direct assistance to the poor, and substantial support for producers.

“More effective measures need to be implemented, such as stopping rice import liberalization, giving substantial support to producers, and increasing the purchasing power of poor households through wage hikes and direct assistance,” it added.