Slight rise in February CPI

Wednesday, Mar 01, 2017 08:46

Shoppers inside a VinMart supermarket. — Photo

The consumer price index (CPI) for February rose 0.23 per cent compared to January, according to the General Statistics Office (GSO).

The increase is relatively low compared to last month and the same period last year, when it rose 0.42 per cent, said Do Thi Ngoc, Deputy Director of the GSO’s Price Statistics Department.

Out of the 11 key groups of goods and services, seven rose compared to January and contributed to February’s slight rise in CPI.

In particular, food and catering went up 0.11 per cent due to the hike in demand during the Tet (Lunar New Year) holiday and the first full moon festival of 2017 in February.

Healthcare service costs also increased 0.27 per cent due to the increase in healthcare service fees and a general pay rise by the Ministry of Health.

Transportation increased 0.56 per cent due to two gas price hikes as well as an increase in public transport fees for the Lunar New Year, including a 2.57 per cent rise in ticket prices on the north to south railway compared to January.

Similarly, housing and construction experienced a 0.77 per cent rise after an 8 per cent rise in cooking gas prices and the increased demand for residential reconstruction before the Lunar New Year.

Nonetheless, three key goods and service groups showed a decrease. Beverage and cigarette went down 0.01 per cent due to lower demand. Textile and footwear went down 0.05 per cent due to shifting seasonal demand and telecommunication costs went down 0.07 per cent.

Core inflation for February increased 0.2 per cent compared to January, making the total increase in inflation for the first two months of 2017 1.69 per cent compared to the same period last year. The fact that this is below 2 per cent shows that the current monetary policy is effective, according to Ngoc.

Additionally, domestic gold prices rose 2.45 per cent compared to January and 10.42 per cent compared to the same period last year due to fluctuation in world gold prices and the increased demand for gold during the God of Wealth day. — VNS

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