Consumer price level in August 2008

08.09.2008

Compared to July 2008, the average consumer price level in August 2008 decreased by 0.4%. The average prices of goods decreased by 0.9%, but prices of services increased by 0.7%. Price decrease of vegetables and fuel, as well as price increase of clothing, catering services and housing rent had the greatest impact on consumer price changes in August.

Prices of food decreased by 2.2%, which was mainly influenced by seasonal decrease of vegetables and fruit prices. Due to the discounts prices of bread, dairy products and cheese decreased.

Average level of fuel prices dropped by 4.3%. In august prices of motor vehicles, mainly of new passenger cars, diminished.

With the growth of offer, prices of house maintenance and repair services decreased. Prices of hotel and sanatorium services went down. Due to discounts prices of non-durable household goods, individual care goods, bicycles, sports and recreational equipment decreased. Purchase of new cars became cheaper. Prices of data processing equipment, airline tickets, furniture and furnishings, carpets and floor coverings diminished.

Rent in local government dwellings, prices of refuse collection and other services relating the dwelling as well as prices of liquefied gas grew.

Alcoholic beverages, cereal products, meat and meat products, fish and fish products, eggs, oils and fats, sugar, sweets and non-alcoholic beverages became more expensive.

Prices of wearing apparel, textiles, household goods, as well as school books grew.

Catering, financial, outpatient, as well as recreational, sports and kindergarten services became more expensive.

Compared to August of previous year, consumer prices have increased by 15.7%, of which prices of goods increased by 15.3%, but of services – by 16.8%.

Compared to 12 months of previous year, the average consumer price level of 12 months has grown by 15.6%.

Consumer price change by commodity groups, %:

Commodity group

August 2007 -
August 2008

December 2007 -
August 2008

July 2008 -
August 2008

Total

15.7

9.0

-0.4

Food

19.6

8.5

-2.2

Alcoholic beverages and tobacco

30.7

28.3

0.5

Clothing and footwear

-0.5

-8.3

1.4

Housing, water, electricity, gas and fuels

30.0

19.5

1.0

Furnishing, household equipment and operation

3.4

2.3

0.0

Health care

14.4

10.7

0.3

Transport

11.7

8.4

-1.8

Communication

-5.1

-3.7

0.0

Recreation and culture

8.9

4.8

0.1

Education

20.1

3.0

0.3

Hotels and public catering

21.3

12.8

1.1

Miscellaneous goods and services

13.0

7.7

0.0

For further information:

Price Statistics Department
Central Statistical Bureau of Latvia

Inga Kunstvere +371-67366852