Harmonised inflation records marginal increase

The Harmonized Index of Consumer Prices (HCIP) in May 2020 recorded a marginal increase of 0.1% compared with the previous month, backed by price increases in Food and Non-Alcoholic Beverages which offset declines in energy prices.

In May the Cyprus government began a gradual relaxation of restrictive measures in place since March 2019 in a bid to limit the spread of the coronavirus outbreak.
 
Compared with the previous month,  Energy marked a reduction of 16.4%, while Food and Non-Alcoholic Beverages and Alcoholic Beverages and Tobacco rose by 2.8% and 0.7% respectively.
 
However, compared with May 2019, HCIP registered a decline of 1.4%. For the period January - May 2020 the HICP recorded a decrease of 0,2% compared to the corresponding period of the previous year.
 
Compared to May 2019, the categories Transport and Clothing and Footwear registered the highest negative change with 7,8% and 4,2% respectively. The largest positive change was observed in category Food and Non-Alcoholic Beverages with a percentage of 3,6%, Cystat added.