The latest Consumer Price Index (CPI) report by the Statistics Division reveals that the cost of transportation services has significantly contributed to the overall inflation rate in August.
The air transport fares, in particular, have risen by 39.5 percent, accounting for 34.2 percent of the overall transport service inflation rate.
This has resulted in a 6.6 percent increase in the inflation rate in the last year ending August 2023, which is a larger increase than the five percent for July annual statistics.
In addition to transportation, there has also been a surge in food prices, which has contributed to the overall inflation rate.
The last 12 months have seen a 3.6 percent rise in food prices, with bread and cereals alone accounting for almost 40 percent of this increase, rising by 9.1 percent.
Milk, cheese, and eggs have also contributed significantly to the rise in food prices, accounting for 22.8 percent of the overall food inflation rate, growing by 10.4 percent over the 12-month period.
However, there has been a slight decrease in the inflation rate of vegetables, with prices dipping by 1.3 percent in August after increasing by 9.5 percent in July, and potatoes being the major contributor to the decline. Meats and meat products also slightly declined by 1.3 percent.
The report also indicates that other indexes have notable increases over the last year, including restaurants and hotels, which saw an increase in their prices by 30.8 percent, communication services by 13 percent, and clothing and footwear by eight percent.
The monthly report (July to August) shows that inflation rose by only 1.4 percent after increasing by less than one percent for the previous month.
August’s food prices also decreased by 1.6 percent, with vegetables declining 5.3 percent, and fruits declining 3.7 percent.