Inflation Back Within BOJ’s Target Range

 

• The All Jamaica Consumer Price Index was 267.5 in January 2020, resulting in an inflation rate of -1.1%, according to the Consumer Price Index (CPI) Bulletin – January 2020 released on February 17, 2020 by STATIN.
• The downward movement in January was mainly as a result of declines in the following divisions: ‘Food and Non-Alcoholic Beverages’ 1.4%, ‘Housing, Water, and Electricity, Gas and Other Fuels’ 4.0% and ‘Transport ’0.7%.
• The movement for the heaviest weighted division, ‘Food and Non-Alcoholic Beverages’ was impacted significantly by lower prices for agricultural produce resulting in a decline of 4.9% in the class ‘Vegetables and Starchy Foods’. In the ‘Housing, Water, Electricity, Gas and Other Fuels’ division, lower rates for electricity resulted in the 9.1% decline for the group’ Electricity’, Gas and Other Fuels’.
• Inflation was however tempered by a 7.2% rise in water and sewage rates which increased the index for the group ‘Water Supply and Miscellaneous Services Related to the Dwelling. For the review period, the point-to-point inflation was 5.2% (within the BOJ’s target range of 4% to 6%) while the fiscal year-to-date was 4.3%.

(Source: STATIN)