Average rate of inflation at 2.4%

In December, the Harmonised Index of Consumer Prices went up by 0.3 per cent over the previous month. This primarily reflected an increase of 2.7 per cent in the Alcoholic Beverages and Tobacco Index due to higher prices of cigarettes. Seasonal price increases in garments caused the Clothing and Footwear Index to go up by 0.9 per cent.

The Transport Index went up by 0.8 per cent, mainly due to higher airfares. Seasonally higher prices for accommodation services underlay an increase of 0.4 per cent in the Restaurants and Hotels Index. Costlier non-durable household goods resulted in a 0.2 per cent increase in the Furniture, Household Equipment and Routine Maintenance of the House Index. An upward movement in the fees charged for dental services caused the Health Index to edge up by 0.1 per cent.

Lower fees for television services brought about a decrease of 0.3 per cent in the Recreation and Culture Index. The Miscellaneous Goods and Services Index went down by 0.2 per cent, mainly on account of lower-priced jewellery. Cheaper mobile phones caused the Communication Index to edge down by 0.1 per cent.

Inflation rate

In December, the twelve-month moving average rate of inflation stood at 2.4 per cent, whereas the annual rate of inflation stood at 1.3 per cent.