Malta: Index of Consumer Prices holds steady in August

The annual rate of inflation stood a t 0.7 percent for the second consecutive month in August, as measured by the Harmonised Index of Consumer Prices. Figures by the National Statistics Office show that the twelve-month moving average rate continues its decrease from 1.6 percent in January to 1.1 percent in August, the smallest increase in the 32 months under review.

The highest annual inflation rates were registered in Clothing and Footwear (+3.1%) and Health (+2.4%) whereas Transport and Education recorded the lowest rates with a decrease of 1.6 percent and 7.7 percent, respectively.

Restaurants and Hotels saw the highest increase in the monthly rate at 2.5 percent followed by Transport (+2.2%) and Education (+2.1%). Clothing and Footwear decreased by 7.1 percent month-on-month, the biggest drop ahead of Communication (-0.1%).

The Food and Non-Alcoholic Beverage Index rose by 0.34 percentage points in August, the largest upward impact on the annual inflation rate. The Restaurants and Hotels Index increase by 0.29 percentage points while Miscellaneous Goods and services, including hairdressing services, gained 0.15 percentage points.

On the other hand, Transport and Education were the main contributors of the downward rate, declining by 0.21 percentage points and 0.16 percentage points, respectively.