Cyprus registers inflation for first time since December 2014

Cyprus registered inflation in December 2016, based on the Harmonized Price Index (HICP), after two years of deflationary pressure, which persisted since December 2014.

The Statistical Service of Cyprus announced on Tuesday that the HICP for December 2016 increased by 0.1%, compared to December 2015, while for the period between January and December 2016, the HICP recorded a decrease of 1.2% compared to the corresponding period the previous year.

The HICP for December 2016, in comparison to November of 2016, recorded an increase of 0.3%.

Compared to December 2015, the category with the biggest positive change was the housing, water, electricity, gas and other fuels (1.8%) whereas the category with the greatest decrease was the transport (-1.9%).

In comparison to HICP of November 2016, the category with the largest increase was the housing, water, electricity, gas and other fuels (1.6%) while decrease was observed in alcoholic beverages and tobacco (-2.7%).

For the period between January and December 2016, compared to the corresponding period of the previous year, the largest negative changes were noted in: transport (-7.5%) and housing, water, electricity, gas and other fuels (-6.6%). On the other hand, positive change was recorded in health (1.1%).

As regards to the economic origin, the largest change as compared both to the index of December 2015 and to the index of the previous month was observed in energy with an increase of 3.0% and 1.9% respectively.

source: CNA