Press Releases

Inflation 0,2%

In May 2019, the Consumer Price Index increased by 0,14 units and reached 101,18 units compared to 101,04 units in April 2019. Compared to May 2018, the CPI increased by 0,2%. (Table 1)

In the twelve-month period from June 2018 to May 2019, in comparison to the period from June 2017 to May 2018, the annual average rate of change of the CPI was 2%. The corresponding annual average rate of change of the CPI in the previous twelve month period was -0,1%.

Comparing to the index of May 2018 the largest change in economic origin was recorded in Electricity (12,8%), while compared to the index of the previous month, Agricultural goods had the largest change (-5,3%). (Table 2)

Analysis of changes

Compared to May 2018, the category Housing, Water, Electricity, Gas and Other Fuels recorded the largest positive change with a percentage of 5,3%, while the category Communication (-2,9%) had the largest negative change. (Table 1)

In comparison to the CPI of the previous month, the largest positive change was noted in Communication (3,2%), whereas Food and Non-Alcoholic Beverages (-1,8%) had the largest negative change. (Table 1)

For the period between January - May 2019, compared to the corresponding period of the previous year, the largest change was recorded in Housing, Water, Electricity, Gas and Other Fuels (7%). (Table 1)

Analysis of effects

Compared to May 2018, the category Housing, Water, Electricity, Gas and other Fuels (0,60) had the largest positive effect on the change of the CPI, while Transport (-0,24) had the largest negative effect. (Table 3)

The categories Communication (0,13) and Transport (0,12) had the largest positive effect on the change of the CPI compared to the previous month, whereas Food and Non-Alcoholic Beverages (-0,34) had the biggest negative effect. (Table 3)

Electricity (0,40) had the most notable positive effect on the change of the CPI of May 2019 compared to May 2018 whereas petroleum products (-0,28) had the biggest negative effect. (Table 4)

Finally, fresh fruits (0,27) and petroleum products (0,20) had the most positive effect on the change of the CPI of May 2019 compared to the previous month, while fresh vegetables (-0,68) had the largest negative effect. (Table 5)

METHODOLOGICAL NOTES

Definitions

The Consumer Price Index (CPI) is compiled to measure the changes of prices over time of consumer goods and services acquired, used or paid by households. Specifically, the national CPI of Cyprus covers the consumption expenses of specific goods and services (shopping basket of goods and services), of the resident households and of the households that intend to live in Cyprus for at least one year. CPI is the official index for the estimation of inflation.

The Inflation shows the change of the CPI when compared with the index of the corresponding month of the previous year.

The Effect represents the amount of the overall change in the General Index which is accounted for by any given category.

Collection

The price collection is carried out only in urban districts of Lefkosia, Larnaka, Lemesos and Pafos. For each city, the fluctuations in the product prices each month, are weighted according to their population. Specifically, the weights for the four districts are: Lefkosia 42%, Lemesos 30%, Larnaka 18% and Pafos 10%.

The prices of 805 goods and services are recorded once every month, except for some seasonal products (e.g vegetables and fruits), meat and fuels, whose prices are collected every week (every Thursday).

Base year

The index reference period was 2005=100 for the period between January 2006 and December 2015. From January 2016 and onwards, the base year is 2015=100.

Classification                                                                                                                 

Until December 2015, COICOP 4 classification was used for the calculation and the dissemination of the CPI. From January 2016 and onwards, CYSTAT is adopting the ECOICOP classification satisfying relevant Eurostat’s Regulation. In other words, the lowest level of detail for the classification used in CPI is COICOP 5-digits.

Products/Services and weights

From January 2018 and onwards, the products included in the CPI as well as their corresponding weights have been revised. The revision was based on the results of the Household Budget Survey 2015/2016.

Further information:

Statistical Service (CYSTAT) Website, subtheme Consumer Price Index

Contact

Constandia Papageorgiou: Tel: +35722602116, Email: cpapageorgiou@cystat.mof.gov.cy

Andri Eftychiou: Τel: +35725878595, Email: aeftychiou@cystat.mof.gov.cy

(MG/II)