Airfares lowered the CPI
The Consumer Price Index (CPI) fell 0.5 per cent from July to August, largely due to lower airfares. The year-to-year growth in the CPI was 4.0 per cent in August, down 0.4 percentage points from July.
|Monthly change (per cent)||12-month rate (per cent)||Index|
|July 2016 - August 2016||August 2015 - August 2016||August 2016|
|CPI All-item index||-0.5||4.0||145.3|
|Food and non-alcoholic beverages||-1.0||3.3||139.4|
|Housing, water, electricity, gas and other fuels||-0.3||5.5||177.3|
|Recreation and culture||0.3||4.9||129.5|
|Clothing and footwear||-0.5||5.5||55.5|
|CPI-ATE (July 1999 = 100)||-0.5||3.3||135.8|
|CPI by delivery sector|
|(December 2014 = 100)|
|Services where labor dominates||0.2||2.7||105.3|
The year-to-year CPI-ATE growth was 3.3 per cent in August, down 0.4 percentage points from July. The CPI was 145.3 (1998=100) in August 2016, compared to 139.7 in August 2015, which corresponds to a year-to-year growth of 4.0 per cent.
Monthly change: Airfares and food prices down
From July to August, the CPI fell 0.5 per cent. The CPI has traditionally decreased from July to August; however this year’s monthly change was approximately double the average decline the last ten years.
The main reason for the CPI decline was a substantial fall in airfares. Airfares usually decline from July to August, and this time they fell 25.8 per cent. Fares to international destinations fell more than domestic travels.
Prices of food have also usually decreased from July to August. Food prices went down 1.0 per cent, in line with the average decrease the last couple of years. All sub-groups, except sugar goods and oils and fat experienced price decrease. The prices of imported agricultural goods went down 1.0 per cent from July to August, while in comparison, prices of Norwegian agricultural goods decreased 0.7 per cent in the same period. Prices of non-alcoholic beverages fell 1.2 per cent from July to August.
The monthly decrease in the CPI was mainly dampened by higher prices on sea transportation, books and accommodation services.
Year-to-year growth: higher electricity prices, lower fuel prices
From August 2015 to August 2016, the CPI grew 4.0 per cent. Higher electricity prices were the main contributor to the year-to-year growth; prices on electricity including grid rent showed a year-to-year increase of 31.5 per cent in August.
Clothing, furniture, together with recreational and cultural services were other important consumer groups with year-to-year price increases.
The year-to-year growth of the CPI was mainly dampened by lower fuel prices. In August this year petrol prices were 5.0 per cent lower than in the same month last year.
Change in the year-to-year growth: CPI growth rate fell
The year-to-year growth in the CPI fell from 4.4 per cent in July to 4.0 per cent in August. The decreased growth rate in the CPI can mainly be explained by the development in airfares. These fell close to 26 per cent from July to August 2016, but went down only around 8 per cent in the same period in 2015.
The price development of sea transportation, petrol and household textiles pulled the growth rate in the opposite direction.
The year-to-year growth in the CPI-ATE fell from 3.7 per cent in July to 3.3 per cent in August.
The CPI adopted Eurostat’s new detailed 5-digit consumer classification, ECOICOP in January 2016. Statistics Norway has published unofficial 5 and 6-digit COICOP indices for the consumer group Food and non-alcoholic beverages up until January 2016. As a result of a discrepancy between the unofficial and the new official ECOICOP, some previously published indices are no longer available. This results in new names for some of the published groups.
Here is the detailed list of representative goods and services in the CPI by delivery sector. The list will not be automatically updated