HICP slightly down in August, average inflation at 1.8%

In August, the Harmonised Index of Consumer Prices went down by 0.1 per cent over the previous month. This primarily reflected a decrease of 7.6 per cent in the Clothing Index, mainly due to seasonally lower prices of garments. A downward movement in the price of mobile phones resulted in a decrease of 0.3 per cent in the Communication Index.

The Recreation and Culture Index went down by 0.2 per cent, mainly on account of seasonal price reductions in respect of certain sports equipment. The Furniture, Household Equipment and Routine Maintenance of the House Index edged down by 0.1 per cent, mainly on account of seasonally lower household textile prices. A similar movement was recorded in the Miscellaneous Goods and Services Index as a result of lower fees for certain financial services.

The Restaurants and Hotels Index advanced by 1.2 per cent on account of seasonally higher-priced accommodation services. An upward shift in the price of vegetables brought about an increase of 0.4 per cent in the Food and Non-alcoholic Beverages Index. The

Health Index rose by 0.2 per cent, mainly due to costlier medical and paramedical services.

A similar increase was registered in the Transport Index, caused mainly by higher airfares.  The Alcoholic Beverages and Tobacco Index edged up by 0.1 per cent as a result of an upward movement in the price of wine.

In August, the twelve-month moving average rate of inflation stood at 1.8 per cent and the annual rate stood at 0.7 per cent.