Cyprus inflation slows down to 1.7 per cent in November

Cyprus experienced a significant deceleration in inflation in November 2023, dropping to 1.7 per cent compared to the previous November, marking the lowest rate in the past three months. This decrease was primarily attributed to a reduction in petroleum prices.

According to the statistical service, the Consumer Price Index (and consequently inflation) declined by 1.46 units in November 2023, reaching 116.51 units compared to 117.97 units in October 2023.

In comparison to November 2022, inflation increased by 1.7 per cent, a rate that stands as the lowest since August and the second lowest in the past 30 months (since May 2021).

The lowest inflation rate in the last 31 months (since April 2021) was recorded in July, at 1.47 per cent.

For the period January to November 2023, the CPI showed a 3.7 per cent increase compared to the corresponding period last year.

The most significant changes in economic categories, both from November 2022 and the previous month, were noted in Petroleum, with percentages of -6.8 per cent and -7.6 per cent, respectively.

Compared to November 2022, the most notable variations were observed in the categories of Restaurants and Hotels (5.6 per cent) and Other Goods and Services (4 per cent).

Compared to October 2023, the most significant change occurred in the Transport category (-4.9 per cent).

From January to November 2023, in comparison to the same period last year, the most substantial changes were evident in the categories of Food and Non-Alcoholic Beverages (8.1 per cent), Restaurants and Hotels (6.0 per cent), and Housing, Water, Electricity, and Gas (5.3 per cent).

The categories of Food and Non-Alcoholic Beverages (0.56) and Restaurants and Hotels (0.55) had the most positive influence on the CPI change in November 2023 compared to November 2022.

Moreover, Transport (-0.54) had the most significant negative impact on the index.

Regarding the change from October to November 2023, the categories of Transport (-0.92) and Food and Non-Alcoholic Beverages (-0.45) had the most substantial effects.

The most substantial impact on the CPI change in November 2023, compared to November 2022, was attributed to petroleum (-0.79).

Finally, petroleum (-0.89), fresh vegetables (-0.47), and electricity (-0.23) had the most considerable impact on the CPI change in November 2023, compared to the previous month’s index.