Small increase in the CPI

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The CPI rose 0.2 per cent from April to May, mainly due to increased food prices. The year-to-year growth in the CPI was 2.1 per cent in May, while the CPI-ATE rose 1.6 per cent the last twelve months.

 

The Consumer Price Index (CPI) rose 0.2 per cent from April to May. Food prices rose 3,1 per cent with fruit, chocolate and meat contributing the most. The increased food prices are mainly due to a rise in prices following Easter sales in April. Increased prices on fuel also contributed to the rise in the CPI. After three continuous months with decreasing fuel prices, petrol- and diesel prices rose 0,7 and 1,1 per cent respectively in May.

Figure 1. Monthly change in per cent. CPI, CPI-ATE, CPI by divisons

April 2017 – May 2017 April 2016 – May 2016
Miscellaneous goods and services -0.3 0
Restaurants and hotels 0 0.3
Education 0 0
Recreation and culture 0.1 -0.1
Communications -0.4 0.3
Transport -0.9 1.7
Health 0.3 0.2
Furnishings, household equipment and routine maintenance 0.2 0.2
Housing, water, electricity, gas and other fuels -0.1 0
Clothing and footwear -0.3 0.6
Alcoholic beverages and tobacco 0.1 -0.2
Food and non-alcoholic beverages 2.9 0.1
CPI -ATE All-item index 0.3 0.4
CPI All-item index 0.2 0.3

Weak decline in the year-to-year growth from April to May

The CPI rose 2.1 per cent last twelve months, down 0.1 percentage point from April. The decline in the year-to-year growth is due to the price development in airfares. Airfares fell 13,1 per cent from April to May this year, while increasing 26,8 per cent in the same period last year. Food prices pulled in the opposite direction as the monthly price increase this year was higher than in May last year.

The year-to-year growth in the [CPI-ATE] was 1.6 per cent in May, down 0.1 percentage point from April. The deviation between the CPI and the CPI-ATE is mainly caused by the development in electricity prices. Despite four consecutive months with falling growth rate the prices on electricity including grid rent were 13,2 per cent higher compared to last May.

Figure 2. 12-month rate. CPI, CPI-ATE, CPI by divisions. May 2016 – May 2017

May 2016 – May 2017
Miscellaneous goods and services 2.3
Restaurants and hotels 3.7
Education 5.3
Recreation and culture 3.3
Communications 0.2
Transport 1
Health 3
Furnishings, household equipment and routine maintenance -0.5
Housing, water, electricity, gas and other fuels 3.7
Clothing and footwear 1.9
Alcoholic beverages and tobacco 2.3
Food and non-alcoholic beverages 0.7
CPI -ATE All-item index 1.6
CPI All-item index 2.1