Research Center
Cyprus Economy

Cyprus austerity tax rises push up inflation in January

12 February, 2013

The consumer price inflation rate to 1.8% in January from 1.1% in December, as tax rises introduced as part of the bailout deal pushed up the price of alcohol, tobacco and petrol.
Prices of alcoholic beverages and tobacco rose by 5% over the previous month and by 11.4% compared with January 2012 as excise duties increased on rolling tobacco, cigarettes, beer and spirits.
Higher taxes on petroleum products push up prices of transport by 2.7% over the previous month and 5.2% compared with January 2012.