February 16, 2024
The Statistical Institute of Jamaica (STATIN) reported that for January 2024, the point-to-point inflation rate was +7.4%; 0.5 percentage points higher than the prior point-to-point inflation rate. However, for the month of January 2024, the inflation rate was -0.1%.
The main driver of the monthly decrease (0.1%) was a 0.7% decline in the index for the ‘Food and Non-Alcoholic Beverages’ division due mainly to lower prices for agricultural produce such as yam, cabbage, carrot, and tomato following increased supplies. Another contributor to the monthly decrease was an 1.1% drop in the index for the ‘Transport’ division owing to a 30% reduction in the adult bus fare charged by the Jamaica Urban Transit Company (JUTC) and lower petrol prices. The monthly decrease was tempered by a 0.8% rise in the index for the ‘Housing, Water, Electricity, Gas and Other Fuels’ division, following higher electricity, water and sewage rates. Notably, the index for the ‘Recreation, Sport and Culture’ division increased by 1.5% primarily because of higher admission fees for cinemas and stage shows.
The upward movement in All Items (7.4%) between January 2023 and January 2024 was mostly related to increases in the divisions: ‘Food and Non-Alcoholic Beverages’ (8.9%), ‘Transport’ (9.5%) and ‘Housing, Water, Electricity, Gas and Other Fuels’ (4.6%).
The main contributor to the growth in the index for the ‘Food and Non-Alcoholic Beverages’ division was the ‘Food’ group (8.9%), influenced by the ‘Vegetables, tubers, plantains, cooking bananas, and pulses’ class (20.5%), owing to higher prices for agricultural produce such as yam, sweet potato, tomato, carrot, and lettuce.
The main factor impacting the index for the ‘Transport’ division was a 14.6% rise in the ‘Passenger Transport Services’ group following a similar increase of 14.6% in the index for the ‘Passenger transport by road’ class, which grew because of the 19.0% increase in route taxi and hackney carriage fares that took effect on October 15, 2023.
The index for the ‘Housing, Water, Electricity, Gas and Other Fuels’ division went up because of increases in the groups: ‘Imputed Rentals for Housing’ (4.3%) and ‘Electricity, Gas and Other Fuels’ (5.2%).
MAJOR CPI DIVISION MOVEMENTS
The index for the ‘Food and Non-Alcoholic Beverages’ division decreased by 0.7% for January 2024. The movement resulted mainly from a 0.8% drop in the ‘Food’ group index, while the ‘Non-Alcoholic Beverages’ group index increased by 0.5%. The ‘Food’ group index was influenced by decreases in the classes: ‘Vegetables, tubers, plantains, cooking bananas and pulses’ (3.5%), and ‘Ready-made food and other food products n.e.c’ (2.4%), tempered by increases of 0.5% each in the classes: ‘Meat and other parts of slaughtered land animals’ and ‘Fruits and nuts’. The fall in the ‘Vegetables, tubers, plantains, cooking bananas and pulses’ class was attributed to increased supplies of agricultural produce such as carrots, lettuce, cabbage, Irish potatoes and yam. All classes within the ‘Non-Alcoholic Beverages’ group increased: ‘Fruit and vegetable juices’ (0.7%), Water, Soft drinks, and Other non-alcoholic beverages’ (0.5%), and ‘Coffee, Tea, Cocoa’ (0.3%).
The point-to-point inflation rate for this division was 8.9%.
The index for the ‘Alcoholic Beverages, Tobacco and Narcotics’ division increased by 0.2% for January 2024. The upward movement was influenced primarily by a 0.2% rise in the index for the ‘Alcoholic Beverages’ group with higher prices recorded for spirits, liquors, wines, and beer.
The point-to-point inflation rate for this division was 5.0%.
The index for the ‘Clothing and Footwear’ division increased by 0.2% for January 2024. Increases were registered for both groups: ‘Clothing’ (0.2%) and ‘Footwear’ (0.1%).
The point-to-point inflation rate for this division was 3.9%.
The index for the ‘Housing, Water, Electricity, Gas and Other Fuels’ division increased by 0.8% for January 2024. This was mostly due to higher electricity rates driving the index for the ‘Electricity, Gas and Other Fuels’ group up by 2.0%. The index for the ‘Water Supply and Miscellaneous Services Relating to the Dwelling’ group rose by 1.0%, resulting from higher rates for water and sewage.
The point-to-point inflation rate for this division was 4.6%.
The index for the ‘Furnishings, Household Equipment and Routine Household Maintenance’ division increased by 0.2% for January 2024. This was mainly influenced by a 0.2% rise in the index for the ‘Goods and Services for Routine Household Maintenance’ group. Notable increases were also registered for the groups: ‘Furniture, Furnishings and Loose Carpets’ (0.4%), ‘Household Textiles’ (0.5%), and ‘Tools and Equipment for House and Garden’ (0.1%).
The point-to-point inflation rate was 10.3%.
The index for the ‘Health’ division increased by 0.4% for January 2024. This was primarily due to increases in the index for the groups: ‘Medicines and Health Products’ group (0.2%) and ‘Outpatient Care Services’ (1.4%).
The point-to-point inflation rate was 4.3%.
The index for the ‘Transport’ division declined by 1.1% for January 2024. This was mainly impacted by a 30.0% decline in the adult bus fare for the JUTC, which drove the index for the ‘Passenger Transport Services’ group down by 1.7%. Another contributor to the decline was a 0.1% drop in the index for the ‘Operation of Personal Transport Equipment’ group due to reduced petrol prices.
The point-to-point inflation rate was 9.5%.
The index for the ‘Recreation, Sport and Culture’ division increased by 1.5% for January 2024. This movement was mainly impacted by increases in the index for the groups: ‘Cultural Services’ (15.8%) and ‘Recreational Services’ (5.7%), due to higher admission fees for cinemas and stage shows, respectively.
The point-to-point inflation rate was 5.4%.
The index for the ‘Education’ division increased by 2.6% for January 2024. This upward trend was attributed to higher tuition fees for private schools at the primary education level for the Easter term.
The point-to-point inflation rate was 15.6%.
The index for the ‘Restaurants and Accommodation Services’ division increased by 0.2% for January 2024. The main contributor was increased prices for some meals consumed away from home.
The point-to-point inflation rate was 8.2%.
The index for the ‘Insurance and Financial Services’ division increased by 1.6% for January 2024. This movement was influenced by the increase in premiums for motor vehicle insurance.
The point-to-point inflation rate was 1.6%.
The index for the ‘Personal Care, Social Protection and Miscellaneous Good and Services’ division increased by 0.3% for January 2024. This growth was due mainly to increases in prices for some personal care products and services.
The point-to-point inflation rate was 4.4%.
Individual divisions saw the following changes:
- Food and Non-Alcoholic Beverages: (-0.7%)
- Alcoholic Beverages, Tobacco and Narcotics: (+0.2%)
- Clothing and Footwear: (+0.2%)
- Housing, Water, Electricity, Gas and Other Fuels: (+0.8%)
- Furnishing, Household Equipment and Routine Household Maintenance: (+0.2%)
- Health: (+0.4%)
- Transport: (-1.1%)
- Information and Communication: (0.0%)
- Recreation, Sport and Culture: (+1.5%)
- Education: (+2.6%)
- Restaurants and Accommodation Services: (+0.2%)
- Insurance and Financial Services (+1.6%)
- Personal Care, Social Protection and Miscellaneous Goods and Services: (+0.3%)
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