Moderate inflation for Jamaica

Price increases in Jamaica for February this year was moderately up resulting in inflation over the past year to less than 4 percent. The Consumer Price Index for the month of February 2017 increased by 0.2 percent, following an upward movement of 0.4 percent in the previous month.
Price increases from a year ago is up 3.6 percent and for the fiscal year-to-date, 3.7 percent.
Two divisions mainly contributed to this increase. Prices for the Food and Non-Alcoholic Beverages division rose the most by 0.3 percent and the division of Housing, Water, Electricity, Gas and Other Fuels was up by 0.6 percent. Higher rates for water and sewage and increases in wages for carpenters, masons, painter, plumbers and electricians were the main factors that impacted the movement for the division Housing, Water, Electricity, Gas and Other Fuels. Lower prices for some petroleum products locally resulted in a decline in its index of 0.3 percent in Transportation.
Fall in the price of oil on the world market could impact ongoing inflation if the trend continues but recent tax increases locally with negate some of that.

Jamaica’s 2016 inflation lowest in decades

‘Vegetables and Starchy Foods’ had a strong impact on November price movement.

‘Vegetables and Starchy Foods’ had a strong impact on November price movement.

Inflation in Jamaica is set to be the lowest in decades as prices rose 0.4 percent in November over the previous month, bringing the inflation for the calendar year-to-date rate to only 1.4 per cent, the lowest for many decades.
Price movements as measured by the consumer index amounts to just 1.7 percent compared to the November 2015. Inflation for the fiscal year-to-date registered an increase of 2.8 percent.
The price movement in November this year, is mainly as a result of a 0.5 percent rise in Food and Non Alcoholic Beverages and a 0.7 per cent increase in Housing, Water, Electricity, Gas and Other Fuels’ division. Higher prices for vegetables and starchy foods and a rise in the cost of electricity were items that were most impactful.

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