Business news

Slovenia records 0.3% annual deflation in June

Ljubljana, 30 June (STA) - Consumer prices in Slovenia decreased by 0.3% on average in June year-on-year despite a 1.3% rise compared to the previous month. The annual deflation has been primarily a result of lower prices of petroleum derivatives (contributing 1.2 percentage points), show Statistics Office data released on Tuesday.

Additionally, the annual deflation was triggered by lower prices of clothing (0.3 percentage points). On the other hand, prices of food and miscellaneous goods and services went up (0.5 and 0.3 percentage points, respectively).

At the monthly level, prices of electricity saw the highest increase in June at the monthly level (up by 42.5% on average) and had the greatest impact on the monthly inflation (1 percentage point).

The electricity price growth has been mainly a result of the end of the government decree on temporarily lowering electricity bills due to the coronavirus epidemic.

The prices of package holidays rose by 9.1% and contributed 0.4 percentage point to the monthly inflation. The monthly growth rate was lowered by prices of food (0.2 percentage point) and clothing (0.1 percentage point).

In the first half of 2020, the consumer prices went up by 0.2%, compared to 2.4% in the same period in 2019.

Measured with the harmonised index of consumer prices, an EU comparable gauge, Slovenia saw 0.8% deflation in June at the annual level and 0.9% inflation compared to the previous month.