Cyprus annual inflation drops again to 0.2%

The annual inflation rate fell for a fourth straight month in June, as the consumer price index rose by just 0.2% compared with June 2008.
The main decline was in prices of goods influenced by oil prices. Transport prices were 10.2% lower in June 2009 than June 2008, while housing, water electricity and gas prices were 3.8% lower.
Food-price inflation is still high, however, reaching 6.9% in June. Restaurant and hotel prices are still rising way above average, at 6.1% in June, despite the dire straits of the tourism sector.
Compared with the previous month, consumer prices fell by 0.14%. The Statistical Service reported that the monthly drop was mainly as a result of decreases in the prices of certain fresh fruit and potatoes. Compared with May, the prices of petroleum products increased.
For the period January-June 2009, the CPI recorded an increase of 0.7% compared to the corresponding period of 2008.