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Thursday 13 april 2023 locAl
A10

The Central Bureau of Statistics presents

The most important findings for the Consumer Price Index (CPI)

For the month of February 2023

Consumer Price Index for of the twelve (12) sectors which contributed to an cy, many economists focus
the month of February 2023 registered increases in pric- effect of -0.17 ppts. The Subsistence level on the proportion of the
The CPI for February 2023 is es. The increases that had decrease in the “Hous- The CPIC (core inflation) core inflation, as this allows

107.59, an increase of 0.8% the greatest influence on ing” sector was due to a - CPI excluding the effect a more in-depth evaluation
compared to the index of the CPI were registered for decrease in the category of energy and food – was of the recent inflation de-

January 2023 (106.69). the “Transport” (3.9%) and “Maintenance and repair 3.2% in February 2023. The velopments in the econo-
“Recreation and culture” of the dwelling” (-2.8%), energy index - which con- my. The annual average of
The percentage change of (2.3%) sectors, which con- which contributed to an sists of the products: elec- the CPI is used to calculate
the CPI over the last twelve tributed with an effect of effect of -0.15 ppts. tricity, water, gasoline and the CPIC.
(12) months (February 2022 0.53 and 0.21 ppts, respec- diesel – was 16.0%. The The CPIC is calculated by
to February 2023) is 7.1, an tively. The increases in the Consumption basket food index showed an in- comparing the average

increase of 3.6 percentage remaining sectors had an The consumption basket crease of 11.6%. index for the most recent
points (ppts) compared to effect of 0.39 ppts on the of the CPI consists of 408 12-month period com-
the percentage change CPI of February 2023. goods and services. Com- What is CPIC? pared with the preceding
for the same period of last increase in the category pared to January 2023, The CPIC (core inflation) 12- month period.
year (3.5%). “Operation of personal 50.0% of these products is a portion of the infla-
transport equipment” had an increase in price, tion where certain items, The three main uses of a
The period average (last (6.5%), which contributed causing an effect of 1.62 which have volatile price CPI are:

24 months) percentage to an effect of 0.53 ppts. ppts, while 35.5% showed movements are excluded, 1. a calculation method to
change of the CPI for the The increase in the “Rec- a decrease, contributing to such as food products and compensate employees
periods February 2021 to reation and culture” sec- an effect of -0.78 ppts and energy. When calculat- due to the loss of purchas-
February 2022 and Febru- tor was mainly due to an the remaining 14.5% had ing the core inflation, the ing power, adjusting their
ary 2022 to February 2023 increase of 10.4% in the no change in price. The most volatile components salaries, with the percent-
is 6.1%, an increase of 4.4 category “Holidays”, which prices of goods increased are eliminated from the age change rate of the

ppts compared to the pe- contributed to an effect of by 0.9% and caused an inflation. The core inflation CPI, which is known as in-
riod average percentage 0.26 ppts. influence of 0.56 ppts. The index is used to assess the dexation.

change over the periods The decrease in the “Res- prices of services showed medium and long-term 2. a tool used in National

February 2020 to February taurants and hotels” sector an increase of 0.7% and trends of the general level Accounts to adjust compo-
2021 and February 2021 to was due to a decrease in had an influence of 0.28 of prices. For purposes of nents of the gross domestic
February 2022 (1.7%). the category “Accommo- ppts on the CPI of February economic policy-making, product (GDP) from nomi-
During this month, eight (8) dation services”(-65.7%), 2023. especially monetary poli- nal terms to real terms.

(For example, by eliminat-
ing the effect of the price
changes from the con-
sumption value)
3. a means commonly used
by governments and cen-
tral banks to set inflation
targets.

The subsistence level for a
household consisting of two
(2) adults and two (2) chil-
dren (aged 0-15 years) in
February 2023 is Afl. 5,393,
an increase of Afl. 30 com-
pared to January 2023 (Afl.
5,363). The subsistence level
for a single adult household
is Afl. 2,568, an increase of
Afl. 14 compared to Janu-
ary 2023 (Afl. 2,554).q