Cyprus inflation drops to under 1% in February

The consumer price inflation rate has continued to tumble in response to falling oil prices, reaching just 0.7% in February, compared with 1.1% in January.
Compared with the previous month, prices rose by 0.1%–the first time they had increased since October.
The biggest monthly fall in prices was recorded in prices of the oil-dominated housing, water, electricity and gas sector, down by 0.95%. Cyprus burns oil to generate electricity, therefore prices here are heavily influenced by international oil prices.
The second biggest drop was in prices of food and non-alcoholic beverages, prices of which have been all over the place in recent months. Compared with February 2008, inflation in food and non-alcoholic beverages was still high, at 6.7%.