PSA Sets Sights on New Base Year Preparing for 2026 Shift This article discusses the Philippine Statistics Authority's (PSA) decision to transition from its current base year of 2018 to 2023, starting January 2026. The rebasing process aims to ensure that inflation and GDP measurements accurately reflect recent economic developments.

Title PSA Sets Sights on New Base Year Preparing for 2026 Shift

The Philippine Statistics Authority (PSA) is undertaking a significant transformation in its economic indicators, transitioning from the current base year of 2018 to 2023 starting January 2026. This rebasing process will ensure that inflation and gross domestic product (GDP) measurements accurately reflect recent economic developments.

According to National Statistician and PSA Undersecretary Dennis Mapa, the agency has already begun working on this change. We are preparing to rebase our consumer price index (CPI) to 2023, he stated. Our technical staff have started conducting preparatory work to ensure a seamless transition.

Rationale for Rebasement

The PSA periodically rebases its CPI to guarantee that the market basket accurately reflects the goods and services households commonly purchase. This process also ensures alignment with the base years used for GDP, producer price indices, and other economic indicators.

Key Changes

One significant change will be the revision of food weights, which currently account for 35% of the CPI. The PSA is reviewing consumption patterns between 2018 and 2023 to determine if adjustments are necessary. Additionally, the agency is identifying new commodities that have emerged during this period, ensuring that the updated basket accurately reflects contemporary market trends.

The Rebasement Process

To achieve the rebasement, the PSA will collect price data on approximately 500,000 items nationwide through a comprehensive survey of commodities and outlets. This process involves determining where people are purchasing goods and which items should be included in the updated basket.

Timeline and Milestones

The shift to the new base year is scheduled for January 2026. By then, the PSA aims to have completed its thorough review of consumption patterns, commodity updates, and data collection.

Looking Ahead

Stay tuned for our upcoming blog post, where we will delve deeper into the implications of this change on the economy and feature insights from industry experts on what it means for their work.

Edward Lance Arellano Lorilla

CEO / Co-Founder

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