Ilonggos Spend More, Save Less

Ilonggos spend more and save less, according to Vicente Balinas, the president of the Philippine Statistical Association-Western Visayas chapter. Balinas cited the result of the 2009 Family Income and Expenditure Survey (FIES) of the National Statistics Office (NSO).

Balinas, who was one of the discussants during the presentation of the survey result Tuesday, June 21, pointed out that the percent share of average expenditure from the average income nationwide is 85 percent or a savings of 15 percent.

In Western Visayas, however, the average share for expenditures is at 90 percent or a savings of only 10 percent.

Western Visayas is the bigger spender compared with Central and Eastern Visayas which made a 17 percent and 20 percent savings, respectively.

"Have the results validated the perception that we are quite extravagant compared to the regions in the Visayas? We Ilonggos spend more and save less," Balinas admitted.

Another very noticeable data, he said, is that the region had a higher spending on special family occasions compared even with that of the national rating.

The result shows that 3.5 percent of the average annual family income in Western Visayas is spent on special family occasions against the 2. 8 percent national rate.

"Again has it validated that as a group of people in Western Visayas, we are fond of having parties," he said.

The expenditure on medical care also surpassed, the national rate of 2.9 percent with the region spending a 3. 9 percent (for health services).

Meanwhile, the FIES result also showed that around 44.5 percent of the income earned by families in Western Visayas is spent on food and 10.9 percent on rental followed by fuel, light and water at six percent. Other expenditures account for 9.3 percent.

The average annual family income in Western Visayas, according to Balinas, actually increased by 2.1 percent, putting into account inflation.

"At current prices, the annual family income in Western Visays increased by 22.3 percent but adjusting to inflation between 2006 and 2009 at 2000 prices, the average annual family income increased only by 2.1 percent. That is the reason why we cannot feel the impact of this increase due to inflation. The purchasing power of Ilonggo is eroded by high inflation," he said.

The FIES is held every three years and the last survey was conducted in 2009.

It gathers data on family income and expenditures, determine the sources of income, levels of expenditure and spending, patterns and related information affecting income distribution and expenditure levels, likewise the distribution and degree of inequality among families.

It also aimed to provide benchmark information to update weights in the consumer price index (CPI) and inputs in the country’s poverty threshold and incidence.

In Western Visayas, the survey was conducted with 1,452 respondent families. It was twice enumerated. The first visit was in July 2009 with the first semester (January to June) as the reference period and January 2010 with the second semester (July to December 2009) as reference period. (PNA) /MP