Consumer price level in June 2006

10.07.2006

The average level of consumer prices in June 2006, in comparison with May 2006, grew by 0.3%. The prices remained constant for goods, but increased for services by 1.0%.

The changes of consumer prices in June were largely influenced by the rise of prices of fruit, potatoes, and telecommunications, as well as the fall of prices of footwear and vegetables.

Mainly due to seasonal factors, the prices of fruit and berries rose by 8.1%, and those of potatoes by 25.9%.

Upon conclusion of several special offers, the prices of telecommunications grew by 1.9%.

The prices of tobacco and catering services continued to increase in June. The prices grew for water supply and sewage services, housing maintenance and repair services, lease of apartments. The services of surface transportation and medical services became more expensive.

As the sell-outs of seasonal goods started, footwear and wearing apparel became cheaper.

Due to special offers and sales actions, the prices of household appliances decreased.

Also the prices of TV, audio, video equipment, computer hardware, photographic equipment, cut flowers, property insurance services, milk products, cheese, eggs, meat and fish products, oils, fat, and sugar decreased.

After the rapid price increase in May, the prices of hotel services decreased considerably in June.

In comparison with June of the previous year, there was an increase of consumer prices by 6.3%, including for goods – by 6.2%, and for services – by 6.7%.

During the first 6 months of 2006, there was an increase of consumer prices by 3.8%.

Consumer price change by commodity groups, %:

Commodity group

June 2005 -June 2006

December 2005 -June 2006

May 2006 -June 2006

Total

6.3

3.8

0.3

Food

5.8

5.5

0.3

Alcoholic beverages and tobacco

7.7

4.8

1.1

Clothing and footwear

-0.8

-3.1

-1.5

Housing, water, electricity, gas and fuels

14.6

7.2

0.5

Furnishing, household equipment and operation

2.2

0.8

-0.2

Health care

4.4

4.4

0.2

Transport

9.0

6.1

0.3

Communication

-6.2

-2.0

1.7

Recreation and culture

3.8

1.4

0.1

Education

8.8

0.2

0.0

Hotels and public catering

13.4

4.8

0.4

Miscellaneous goods and services

5.0

1.8

0.1

For further information:

Consumer Price Indices Section
Central Statistical Bureau of Latvia
Oskars Alksnis 371-7366865