Increased taxes pushed inflation in April.
Increased taxation on fuel, cigarettes and pure alcohol and increase motor vehicle license were mostly responsible for the 0.3 percent increase in Jamaica’s inflation for April as measured by the Consumer Price Index.
The calendar year-to-date inflation amounts 1.3 percent, while inflation rate since April 2016 is 4.8 percent.
This upward movement was mainly due to the divisions, Transport recording an increase of 1.7 percent and the highest weighted division Food and Non-Alcoholic Beverages moving up by 0.1 percent. The upward movement in the Transport division was due mainly to the increase in the Special Consumption Tax levied on petrol. While increased consumption tax pushed inflation by of 0.9 percent in the Alcoholic Beverages and Tobacco division.
The overall inflation rate was tempered by the decline of 0.2 percent in the division Housing, Water, Electricity, Gas and Other Fuels, due to lower rates for electricity, resulting in a fall of 0.5 percent for the group Electricity, Gas and Other Fuels.
