Consumer price indices - inflation - May 2020

Year-on-year growth of consumer prices slowed down

10.06.2020
Code: 012024-20
 

Consumer prices in May increased by 0.4% compared with April. This development came primarily from a price increase in 'alcoholic beverages and tobacco'. The year-on-year growth of consumer prices amounted to 2.9% in May, which was 0.3 percentage points down on April.
 

Month-on-month comparison

Month-on-month rise of consumer prices in ‘alcoholic beverages and tobacco‘ came from price increase of tobacco products by 3.7%, spirits by 3.3% and beer by 3.4%. In 'food and non-alcoholic beverages‘ mainly prices of fruit were higher by 7.6%, sausages and smoked meat by 1.2%, potatoes by 5.1% and eggs by 4.2%. Price development in ‘transport‘ was influenced mainly by price rise of motor cars by 1.8%. In 'furnishings, household equipment and routine household maintenance' mainly prices of household appliances increased by 1.3%.

The decrease in the overall consumer price level in May came from price reduction in 'clothing and footwear', where prices of garments were lower by 1.4%. In food, mainly prices of vegetables decreased by 1.2% and cheese and curd by 1.6%. In 'housing, water, electricity, gas and other fuels’ prices of water supply dropped by 3.5% and sewage collection by 3.0% (partially due to reduction of VAT from 15% to 10%).

Prices of goods in total went up by 0.6% and prices of services by 0.3%.
 

Year-on-year comparison

Consumer prices increased by 2.9% in May, i.e. 0.3 percentage points down on April. Slowdown in the year-on-year price growth occurred mainly in 'food and non-alcoholic beverages'. Prices of meat went up by 10.8% (12.8% in April), cheese and curd by 2.1% (6.0% in April), vegetables by 4.0% (11.8% in April) and sugar by 11.6% (16.2% in April). Prices of butter were lower by 7.7% (3.5% in April). In 'clothing and footwear', prices of garments were higher by 3.4% (4.5% in April). In 'housing, water, electricity, gas and other fuels’, prices of water supply were higher by 1.7% (5.3% in April) and sewage collection by 1.5% (4.5% in April). On the contrary, year-on-year price growth in 'alcoholic beverages and tobacco' accelerated, mainly due to prices of tobacco products, which went up by 7.1% (3.2% in April).

The biggest influence on the growth of the year-on-year price level in May came from prices in 'food and non-alcoholic beverages', where prices of flour went up by 13.9%, pork by 13.7%, sausages and smoked meat by 13.6% and fruit by 25.4%. Second in order of influence were prices in 'housing, water, electricity, gas and other fuels’, where prices of actual rentals for housing were higher by 3.8%, electricity by 8.0% and natural gas by 0.4%. The impact on the price level increase came also from prices in ‘alcoholic beverages and tobacco’, where prices of spirits increased by 8.9% and beer by 3.5%. A reduction in the overall price level in May came from prices in ‘transport’, mainly due to prices of fuels, which were lower by 21.7%. In 'communication' prices of telephone and telefax services dropped by 4.1%.

Prices of goods in total and services went up (2.7% and 3.3%, respectively). The overall consumer price index excluding imputed rentals for housing was 103.0%, year-on-year.

Inflation rate, i.e. the increase in the average consumer price index in the twelve months to May 2020 compared with the average CPI in the previous twelve months, amounted to 3.1%.

According to preliminary data of Eurostat, the year-on-year change in the average harmonized index of consumer prices (HICP)1) in the EU27 member states amounted to 0.6% in April (0.5 percentage point down on March). The rise in prices was the highest in Czechia (3.3%) and Poland (2.9%). On the other hand, the deepest price reduction occurred in Slovenia (1.3%) and in Cyprus (1.2%). In Slovakia, price growth in April slowed down to 2.1% from 2.4% in March. In Germany, prices increased by 0.8% (1.3% in March). According to preliminary calculations, the change in the HICP in the Czech Republic in May amounted to 0.5% month-on-month, and 3.1% year-on-year. The MUICP (Monetary Union Index of Consumer Prices) flash estimate for the Eurozone in May 2020 amounted to 0.1%, y‑o‑y, as Eurostat announced (more information on the Eurostat’s web pages: HICP.)

Methodological note to consumer price index in May 2020 (COVID-19)

 

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1) Imputed rentals are excluded from the HICP.

Notes:
Responsible manager of the CZSO: Jiri Mrazek, Director of Price Statistics Department, email: jiri.mrazek@czso.cz
Contact: Pavla Sediva, Head of the Consumer Price Statistics Unit, phone (+420) 274052138, email: pavla.sediva@czso.cz
Data source: Direct field survey of prices, centrally surveyed prices and reporting
End of data collection: 20th day of the reference month / End of data processing: 3rd day of the month that follows the reference month
Related publications: 012018-20 Consumer Price Indices – Basic Breakdown (periodicity: monthly), 012023-20 Consumer price Indices – Detailed Breakdown (periodicity: monthly) and 012019-20 Consumer Price Indices – Detailed Breakdown (periodicity: annually)
Internet: https://www.czso.cz/csu/czso/inflation-consumer-prices
Next News Release: 10 July 2020
Text not edited for language

 

  •      aisc061020.docx
  • Annexes:
  • Table 1 Consumer Price Index (indices, inflation rate)
  • Table 2 Consumer Price Index (breakdown of the growth month-on-month)
  • Table 3 Consumer Price Index (breakdown of the growth – month-on-month, year-on-year)
  • Table 4 Consumer Price Index (social groups of households – indices, inflation rate)
  • Table 5 Consumer Price Index (analytical table, specific consumer price indices)
  • Chart 1 Consumer Price Index (year-on-year changes, changes on base year)
  • Chart 2 Harmonized Index of Consumer Prices – International comparison
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Published: 10.06.2020
The data are valid as of the release date of the publication.


Contact: Information Services Unit - Headquarters, tel.: +420 274 056 789, email: infoservis@czso.cz