Analytics, Economics, Inflation, Lithuania, Retail, Statistics

Over the said period, prices for consumer goods decreased by 0.3%, those for consumer services  –increased by 0.2%. The influence of the change in prices for consumer goods on the overall monthly price change stood at minus 0.2 percentage points (pp), that of the change in prices for consumer services – at plus 0.05 pp.

Prices for consumer goods and services regulated by State and municipal authorities decreased by 0.5, market prices – 0.1%. The influence of the change in prices regulated by State and municipal authorities stood at minus 0.07 pp, the influence of the change in market prices stood at minus 0.08 pp.

Fig. 1. Monthly changes in prices for consumer goods and services

Compared to the previous month

Fig 2. Influence on the monthly change in prices for consumer goods and services by COICOP¹ division

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1} Classification of Individual Consumption by Purpose (COICOP).

In May 2017, against April, a decrease in prices for food products was observed.

Due to new summer collections, clothing and footwear went up in price by 1.4%.

The overall change in prices for transport goods and services (the prices decreased by 1.5%) was determined by a decrease in prices for fuels and passenger transport by air.

The overall change in prices for alcoholic beverages and tobacco products (the prices increased by 1 %) was determined by a 1.4% increase in prices for spirits, 1.3% – wine and wine products, 0.8% – beer.

For more detailed information on the largest price changes, see Table 1.

Table 1. Largest changes in prices for consumer goods and services in May 2017, against April
Per cent

In May 2017, annual (May 2017, against May 2016) inflation stood at 3.4 %.

Annual inflation was mainly influenced by an increase in prices for beer, fuels and lubricants, catering services of restaurants, cafés and the like, spirits, solid fuel and wine, as well as by a decrease in prices for vegetables, electricity and heat energy.

Over the year, prices for consumer goods and services increased by 3 and 4.8% respectively.

In May 2017, against May 2016, prices regulated by State and municipal authorities decreased by 3.2%, while market prices increased by 4.4%.

Fig. 3. Annual changes in prices for consumer goods and services
Compared to the respective month of the previous year

Since 2016, an increase in average annual inflation has been observed. In May 2017, average annual inflation stood at 1.8%.

Fig. 4. Average annual inflation

Table 2. Changes in prices for consumer goods and services, May 2017
Per cent

Table 3. Largest influence on the overall change in consumer prices over the month by COICOP class of consumer goods and services

The overall change in consumer prices is influenced not only by the size of the price change for a certain product but also by the relative share (weight) of expenditure on that product in the total consumption expenditure.

Concepts

Inflation is a long-term increase in the general price level, resulting in a decrease in the purchasing power of money. Inflation is usually calculated based on the consumer price index and expressed in %.

Annual inflation shows the relative change in the average price level between the reporting month and the corresponding month of the previous year.

Average annual inflation shows the relative change in the average price level between the last twelve months and the corresponding previous twelve months.