HICP inflation down by 0.1% in June, inflation at 1.8%

In June 2010, the annual rate of inflation stood at 1.8% when compared to last year, while the twelve-month moving average rate of inflation stood at 0.7%.

The slight decrease in June 2010 HICP primarily reflected a decrease of 1.9% in the clothing and footwear Index due to a seasonal drop in the price of garments.

The NSO also reported how the recreation and culture Index saw a downward shift of 1.2% in June when compared to May 2010, mainly due to lower fees for television services.

Cheaper prices in respect of fruit also caused the food and non-alcoholic beverages index to go down by 0.3% in June when compared to May.

According to the NSO, the furniture, household equipment and routine maintenance of the house index dropped by 0.1% when compared to May 2010, mainly the result of lower-priced major household appliances. Cheaper motor cars also led to a similar drop in the transport index, the NSO reported.

On the other hand, the NSO reported that the restaurants and hotels index rose by 1.0% in June when compared to May due to higher prices for accommodation services.

Upward shifts in the price of some jewellery items also led the miscellaneous goods and services index to go up by 0.4%..

According to the NSO, the Health Index went up by 0.2%, mainly on account of higher fees for medical and paramedical services.