Annual inflation in Slovenia fell 0.4
percentage points to 0.9% in July on the back of a continuing
stabilisation in the prices of food, fuel and other energy products.
The drop in annual inflation comes on
the back of a monthly consumer index figure that shows prices dropping
by 1.1% on average in July, the Statistics Office said on Friday.
The annual inflation rate has fallen to
one of its lowest levels yet since independence with the help of
stabilisation of energy and food prices, which were the catalyst of
inflation last year.
The highest annual increases in prices
were seen with alcoholic beverages and tobacco, which were up by 5.4%
mostly due to higher excise duties, according to data from the
Statistics Office.
The housing category, in which energy
prices hold a large share, was up 4.4%, but this is less than in the
same period last year.
Moreover, food prices are now up only 2.9% over July 2010, continuing a trend of stabilisation after a spike in 2010.
The biggest drop in prices on the same
month last year was seen in the hospitality sector (10.2%) and in
clothing and footwear (by 4.2%).
The latter category also contributed the
most to the overall monthly drop in prices, as summer clearance sales
helped bring about an average drop in prices in the group by 15.9%. Food
and beverage prices were down by 1.1% for the month.
Statistics Office director Irena Krizman
pointed out at today's press conference that this was the third month
of deflation this year.
Meanwhile, the Institute of
Macroeconomic Analysis and Development (IMAD) said the latest inflation
data was expected and that trends were being influence by weak economic
activity.
IMAD highlighted that the consumer price
index for the first seven months of the year stood at 0.7%, the lowest
in the last decade.
Measured with the harmonised index of
consumer prices, the EU standard, prices were down by 1.1% at the
monthly level and up by 1.1% year-on-year, the Statistics Office added.
Source: SLOVENIATIMES
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