News Financial
Inflation continues to rise, food remains expensive
Inflation rose further in May, to 6,1%. This is reported by Statistics Netherlands on the basis of a first rapid estimate. In April inflation was 5,2%. Energy has become considerably cheaper on an annual basis. Food is currently the biggest driver of inflation. Food inflation is declining slightly, from 13,2% in April to 12,8% last month.
After a sharp fall in March from 8% to 4,4%, inflation has risen again in the past two months. Food inflation, on the other hand, declined in April and May (from 15% in March, to 13,2% in April and 12,8% in May), but is still high. Energy was 18,5% cheaper last month than in May 2022.
Inflation according to HICP 6,8 percent
There are two methods of measuring inflation. In addition to the consumer price index (CPI), which produces the above inflation figures, there is also the European harmonized consumer price index (HICP), which can be used to compare inflation between EU countries. The HICP quick estimate is 6,8% in May. That is also an increase compared to April (5,8%).
New calculation method next month
As of this month (June), Statistics Netherlands will use a new method to measure energy prices in the consumer price index (CPI). Until now, it was always assumed that everyone had a new contract. When energy prices rose enormously, while many old contracts were still running, that was no longer true. The new method uses transaction data from energy suppliers.
Linda van Eekeres
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