Consumer price level in December 2005

09.01.2006

Compared to November, consumer prices in December decreased by 0.1% (a decrease of 0.2% for goods and an increase of 0.2% for services).

Changes in the average price level during the month were mostly influenced by a fall in the prices of automotive fuel and footwear as well as by the price rise for several food products.

Under the impact of the seasonal sale and discounts, prices for wearing apparel, footwear, household appliances, textile products, TV, audio and video equipment have gone down. There were the traditional holiday price discount actions for selected postal and mobile telecommunications services.

There were rises in the prices of water supply, waste disposal and dentists’ services. Selected cultural, recreational and sports services became more expensive. Kindergarten fees also went up. The prices for catering services continued to rise.

Consumer prices in 2005 increased by 7.0% (7.0% for goods and 6.9% for services). In 2004 this indicator was 7.3%.

The rise in the prices of food products and automotive fuel in 2005 had the greatest impact on the consumer price increase.

The rise in the prices of automotive fuel has to a great degree influenced the prices of overland transport services. Gas, solid fuel, heating, waste disposal as well as other expenses related to dwelling maintenance has become higher. Also the prices of catering services, hotel and health services, selected educational, financial and personal grooming services have increased considerably.

Telecommunications services had the most lowering effect on the price level last year.

Compared to the average level in 2004, the average price level in 2005 rose by 6.7% (6.8% for goods and 6.5% for services).

Consumer price change by commodity groups, %:

Commodity group

November 2005 -
December 2005

December 2004 -
December 2005

Total

-0.1

7.0

Food

0.5

8.9

Alcoholic beverages and tobacco

-0.3

6.9

Clothing and footwear

-1.9

0.5

Housing, water, electricity, gas and fuels

0.1

9.0

Furnishing, household equipment and operation

-0.4

4.2

Health care

0.1

9.3

Transport

-1.2

11.4

Communication

-1.2

-6.5

Recreation and culture

0.6

3.1

Education

0.2

8.9

Hotels and public catering

0.7

11.9

Miscellaneous goods and services

0.6

6.6

For further information:

Consumer Price Indices Section
Central Statistical Bureau of Latvia
Inga Kunstvere 371-7366852