Consumer Price Index- July 2017

The inflation rate for the month July 2017 was 0.6 %, following an upward movement of 0.7% in June 2017. The division which recorded the highest movement for the month was ‘Food and Non-Alcoholic Beverages’ with a 1.2% growth. STATIN reported that the prolonged effect of the flood rains in mid-May continued to impact agricultural products. It caused an upward movement in the class ‘Vegetable and Starchy Foods.’ The 0.3% increase in the ‘Transport’ division also contributed to the inflation rate for the month which was attributable to an upward movement in the cost for air travel. The only division to record a negative movement in its index was ‘Housing, Water, Electricity, Gas and Other Fuels’, contracting by 0.3%.

The ‘Food and Non-Alcoholic Beverages’ division reported a 1.2% increase for July, relative to 1.1% movement in June 2017, this is the highest monthly movement in the division for the calendar year. The group ‘Food’ rose 1.3%, while ‘Non-Alcoholic Beverages and Tobacco’ increased by 0.1%. The increase in the price of ‘Food’ was driven by a 3.8% increase in the class ‘Vegetables and Starchy Foods, in addition ‘Meat’, ‘Fish and Seafood ‘and ‘Fruit’ were up 0.6%, 0.4% and 1.4% respectively.

The ‘Alcoholic Beverages and Tobacco’ division recorded an increase of 0.4% for July 2017. Increases in the price of ‘Spirits’ and ‘Wines’ were the main contributors to the movement. In addition, the index for ‘Clothing and Footwear’ went up by 0.1% for July 2017, as both ‘clothing’ and ‘Footwear’ division recorded a 0.1% increase.

For the month of July the division ‘Housing, Water, Electricity, Gas and Other Fuels’ posted a 0.3% decline. The ‘Electricity, Gas and Other Fuels’ was the main driver behind the decline, this as the group recorded a 0.8% decline. In contrast the groups ‘Water Supply and Miscellaneous Services Related to the Dwelling’ and Maintenance and Repair of Dwelling’ both increased by 0.6% and 0.2% respectively. The ‘Furnishings, Household Equipment and Routine Household Maintenance’ division grew by 0.1%; driven by the class ‘Furniture and Furnishings.’

The ‘Transport’ division rose by 0.3% in July 2017. This was as a result of the increase in air fares for the period. Furthermore, the division ‘Recreation and Culture’ reported a 0.1% growth for July; this was due to an increase in the sub-class ‘Information Processing Equipment’. The ’Miscellaneous Goods and Services’ division rose by 0.2%, driven by an increase in Canadian visa fees.

The Inflation rate year to date is 2.7%, while the point-to-point rate (July 2016 – July 2017) and fiscal year 2016/ 2017 was 4.5% and 1.7% respectively. Individual divisions saw the following changes:

  1. Food and Non-Alcoholic Beverages: (1.2%)
  2. Alcoholic Beverages and Tobacco: (0.4%)
  3. Clothing and Footwear: (0.1%)
  4. Housing, Water, Electricity, gas and Other Fuels: (-0.3%)
  5. Furnishing, Household Equipment and Routine Household Maintenance: (0.1%)
  6. Health: (0.1%)
  7. Transport: (0.3%)
  8. Communication: (0.0%)
  9. Recreation and Culture: (0.1%)
  10. Education: (0.0%)
  11. Restaurants and Accommodation Services: (0.0%)
  12. Miscellaneous Goods and services: (0.2%)

 

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2017-08-24T19:04:11+00:00