Inflation continues to fall

The rate of inflation continued to decline in July, according to statistics released last week by the National Statistics Office.

Between May 2001 and April this year, Malta rate of inflation began a steep climb and, in fact, had risen over the time frame from 1.89 to 3.65. However, May saw the monthly inflation rate begin to fall, a trend that has been repeating itself ever since.

However, in contrast July’s retail price index had risen by 0.35 per cent, or 0.41 points, over June and reached 118.44.

In July, the categories monitored to determine the retail price index included food, beverages and tobacco, fuel, light and power, transport and communications, education, entertainment and recreation and the ‘other goods and services’ segment.

The highest climber was the transport and communications index, which increased by 1.63 per cent, 2.08 points, to 129.40 as a result of higher prices for petrol and diesel.

The food items index, meanwhile, increased by or 0.19 per cent, 0.22 points, to 116.42 over the previous month. Average drops were recorded in the prices of fresh and frozen meat, chicken and rabbits, fresh fish, eggs and fresh vegetables. However, price increases were registered in respect of potatoes and fresh fruit.

A drop in the average price of spirits saw the beverages and tobacco index declined by 0.03 points or 0.02 per cent to 150.03.

Increased average prices for kerosene, meanwhile, pushed up the fuel, light and power index by 0.02 points to 109.96.

Average price increases recorded in respect of books, magazines and periodicals and other stationery goods saw the education, entertainment and recreation index climb by 0.16 points, or 0.13 per cent.