Consumer price index, 15 May 2005

The CPI stood at 115.2 (1998=100) in May 2005 compared with 113.4 at the same time last year, an increase of 1.6 per cent. The year-to year growth in CPI-ATE was 1.1 per cent in May, up from 0.8 per cent in April.

Price increase of electricity

CPI grew by 0.3 per cent from April to May 2005. The increase was mainly due to the price increase of electricity of 5.8 per cent. Petrol prices, on the other hand, pulled in the opposite direction. Following price increases of petrol since January this year, petrol prices fell by 0.6 per cent from April to May.

The price increase of 0.4 per cent of food products also contributed to the increase in CPI from April to May. It was particularly prices of fresh fruits and some vegetables that increased since last month.

Increase in prices of telephone equipments were also recorded from April to May.

Transport services and petrol pulled CPI upwards

CPI has increased by 1.6 per cent from May 2004 to May 2005. The major contributors to the year-to year growth were clearly transport services and petrol, with price increases of 10.1 and 5.1 per cent, respectively.

Rentals for housing and costs for owner-occupied housing have also contributed to the year-to-year growth in the CPI, with price increases of 2.4 and 2.2 per cent respectively from May 2004 to May 2005. Prices of materials for repair and maintenance of dwellings have also added to the CPI growth with a price increase of 4.1 per cent.

The 5.9 per cent price increase in the last 12 months for services connected to recreation and culture also contributed to the CPI growth.

Prices of clothing and footwear have dampened the growth in CPI with a decrease of 6.2 per cent in the last 12 months. Audiovisual equipments also had the same effect with a price fall of 7.1 per cent from May 2004 to May 2005.

Increase in the year-to year growth

The year-to-year growth in CPI moved from 1.3 per cent in April to 1.6 per cent in May, mainly due to the price development of electricity and passenger transport by air. Prices of electricity increased from April to May this year, compared to a marginal decrease last year. Prices of passenger transport by air increased slightly from April to May this year while they fell drastically from April to May last year.