Annual CPI inflation pulled back slightly in August, easing to 3,1% from 3,2% in July.

The monthly increase in prices was 0,2%. This is slightly lower than the average monthly change of 0,3% over the past year and lower than the 3-month average of 0,4%.

Transport was the most significant contributor to the 0,2% monthly increase in August, following a 1,0% rise in fuel prices.

Annual food and non-alcoholic beverages inflation hit a seven-month low in August, at 3,9%. This is down from 4,3% in July.

Bread and cereal inflation remains at relatively low levels, recording an annual increase of 2,8% in August. The rate has remained at approximately this level since May, and is significantly lower than the 8,6% recorded in August last year.

Maize prices dropped by 1,2% in the month and have declined by 8,7% over the past year. However, prices for white bread and rice increased between July and August, up by 0,4% and 3,4% respectively.

Meat was 0,4% cheaper in August compared with July, dragged lower by softer beef and chicken prices.

Annual milk, cheese and eggs inflation was 5,4%. This is lower than the recent high of 7,1% recorded in May. Oils and fats inflation registered an annual rise of 7,6%, down from July’s reading of 9,0%.

Prices for hot beverages, such as tea and coffee, decreased by 1,2% between July and August. Prices were 2,2% higher in August than they were a year ago.

Big monthly increases in whiskey and wine prices pushed annual inflation for alcoholic beverages to a lockdown high of 2,9%.

For more information, download the latest Consumer Price Index (CPI) release here.

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