Inflation inches down to 2.8%

The consumer price inflation rate inched down to 2.8% year on year in February 2005, compared with 2.9% in January.

On a month-on-month basis, prices remained almost the same, rising by just 0.03%.

The Consumer Price Index for February 2005 increased by 0.03 units to 118.75 units compared to 118.72 in January 2005.

This is mainly the result of increases in the prices of petroleum products and medical care while decreases have been recorded in the prices of telephone rates.

Financial Mirror analysis shows that in February communications prices fell by a huge 9.2% compared with the previous month–the largest fall in any category.

The strongest rise was recorded by health, which rose by 0.9% month on month.

For the period January-February 2005 the CPI recorded an increase of 2.88%.