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Annual Inflation Rate Makes up 2.8%

In July 2018, compared to June, inflation rate made up -0.3%, but annual inflation index totaled 2.8%.

According to Geostat, national statistics service of Georgia, change in prices in the following groups have influenced monthly inflation indicator: food and soft drinks: prices declined by 1.1%, which made -0.32% on the whole inflation indicator. Prices declined in subgroups: fruit and grapes (-12.6%), vegetable and garden pants (-10.7%). Moreover, prices rose in subgroup of milk, cheese and egg (2.7%); clothes and footwear: prices in this group declined by 1.4% and made -0.05% influence on the whole index. In the reporting period prices declined in both footwear (-2.4%) and cloths subgroups (-1.0%).

Transport: prices rose by 1.2%. The group’s contribution to the monthly inflation constituted 0.15%. Prices rose on transport services (1.7%) and exploitation of personal transport (1.3%). Moreover, prices declined for purchasing transportation means (-1.6%).

Price changes in the following groups made a key influence on shaping the annual inflation: Transport: in this group prices rose by 6.9% and this made 0.93% influence on annual inflation. Prices increased on exploitation of personal transport (12.3%). Moreover, prices declined on purchase of transport (-11.0%).

Food and soft drinks: prices rose by 2.3% and this was reflected by 0.67% on total indicator of inflation. Prices rose in subgroups: oil and fat (4.6%), meat and meat products (4.2%), fish products (3.7%), vegetables (3.1%), milk, cheese and eggs (2.6%). At the same time, prices declined on sugar, jam and other sweets (-2.9%); house, water, electricity, gas: prices rose by 5.2% and the group’s contribution to annual inflation made up 0.43%. Prices increased in subgroups of water supply and other services related to residential houses (7.7%) and electricity, gas and other means of heating (6%).