Analytics, Inflation, Latvia, Statistics

Changes in consumer prices

(as % of the corresponding month of the previous year)

Commodity group impact on total Consumer Price Index during the year

(percentage points)

Compared to December 2015, in December 2016 the greatest pressure on the price changes was put by the rise in prices of food and non-alcoholic beverages, goods and services related to transport, prices in communication group, prices of health care, recreation and culture, alcoholic beverages and tobacco products, as well as by the drop in prices of goods and services related to housing.

Compared to the corresponding month of the previous year, in December 2016 the average level of food and non-alcoholic beverage prices grew by 4.8%. Increase was recorded in prices of fresh vegetables, sugar, cheese and curd, meat and meat products, butter, milk, kefir, yoghurt, sour cream, fresh fruit, bakery products, non-alcoholic beverages, fresh or chilled fish, sweets, salt and spices, chocolate, jams and honey. Reduction, in turn, was observed in prices of potatoes and eggs.

Prices of tobacco products rose by 5.2%. The average level of alcoholic beverage prices decreased by 0.6 %, which was mainly affected by the drop in prices of beer.

Prices of goods and services related to housing fell by 0.7%. Decline was observed also in prices of heat energy, natural gas and solid fuels. Increase, in turn, was recorded in maintenance charges in multi-occupied buildings, prices of refuse collection, sewage collection, and water supply.

The average level of health care prices grew by 2.9%, which was mainly due to the rise in prices of pharmaceutical products and dental services, as well as prices in medical specialist practice.

Prices of goods and services related to transport went up by 3.0%, which was mainly affected by the increase in prices of fuels for transport (of 6.7%). Increase was registered also in prices of maintenance and repair of personal transport equipment. Reduction was observed in prices of passenger transport by sea as well as spare parts and accessories for personal transport equipment.

The average level of telecommunication service prices grew by 5.5%, which was mainly because of the rise in prices of wired and wireless telephone services. Prices of Internet access services fell.

Prices of cultural services went up by 3.2%. Increase was recorded also in prices of fiction books and package holidays. Decrease, in turn, was registered in prices of audio-visual equipment.

Within other commodity groups, the most significant growth was recorded in prices of catering services, financial services, articles for personal hygiene and beauty products, while the most notable decline was registered in prices of non-durable household goods.

In 2016, administered prices decreased by 0.4 %, while non-administered prices grew by 2.5%.

Compared to November 2016, in December 2016 the average level of consumer prices rose by 0.6%. Prices of goods went up by 0.5 %, and prices of services by 0.8%.

In December the greatest pressure on the consumer price changes was put by the growth in prices of food and non-alcoholic beverages, goods and services related to transport, goods and services related to housing, prices in communication group, prices of alcoholic beverages and tobacco products, as well as by the decline in prices of clothing and footwear.

During the month, prices of food and non-alcoholic beverages went up by 1.3%. Prices of fresh vegetables had the most significant increasing impact on the price level. Rise was recorded in prices of fish and seafood, milk, sugar, oils and fats, cheese, coffee, kefir, bakery products, and yoghurt. Decline, in turn, was observed in prices of dried, salted or smoked meat, meat preparations, breakfast cereals, flours and other cereals, pasta products, and eggs.

The average level of alcoholic beverage prices increased by 1.1%, which was influenced by the end of discounts on spirits, wine and beer.

Due to the sales campaigns, the prices of footwear dropped by 6.6% and prices of garments by 2.3%.

Prices of goods and services related to housing rose by 0.7%. Compared to November 2016, increase was observed in prices of heat energy.

Within the transport group, the average level of prices rose by 1.7%, which was mainly because of the increase in prices of fuels for transport (of 2.3%). Increase was observed in prices of passenger transport by air as well as maintenance and repair of personal transport equipment.

The average level of telecommunication service prices went up by 3.2%, which was due to the rise in prices of wired and wireless telephone services.

Within other commodity groups, the most notable increase was recorded in prices of pet food, books, pharmaceutical products, as well as restaurant and café services. Reduction was recorded in prices of articles for personal hygiene and beauty products, non-durable household goods, and package holidays.