10 -16August 2000

Inflation continues to rise

For the 11th consecutive month, the rate of inflation has continued to rise. According to figures released by the Central Office of Statistics, in June the rate of inflation stood at 2.71 per cent, up 0.07 per cent on the figure for May. In June last year the rate of inflation was 1.70 per cent.

In June, the sections that were monitored for index purposes included food, durable household goods, personal health and care and other goods and services.

The food items index went down by 1.52 points or 1.41 per cent to 106.43 from 107.95 in the previous month. This decline resulted from drops in the average prices of fresh vegetables and fruits, potatoes and fresh fish.

The durable household goods index dropped by 1.30 points or 1.22 per cent to 105.45 from 106.75 a month earlier. Lower average prices in respect of furniture, white goods and other household items were the main cause for this drop.

Higher average prices in respect of a range of toilet requisites and cosmetics (cleanser, toilet soap, liquid soap, deodorants, sanitary towels and disposable nappies), hairdressing and shaving items (shampoos, shaving blades and aftershave), eye-sight aids (sight glasses, contact lenses and sunglasses) and a range of medicinal items caused a 1.35 points or 1.16 per cent increase in the personal care health index. This went up to 117.64 from 116.29 a month earlier.

The other goods and services index went up by 0.55 points or 0.52 per cent to 106.34 from 105.79. This increase was caused by higher average prices in respect of clocks, watches, jewellery items and baby carriages.