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Slovenia Business Week no. 23/2005: May Inflation at 0.3%, 2.2% Year-on-Year

According to the Statistics Office, the increase in May was generated mainly by prices of clothing and footwear, package holidays and food

Consumer prices in May increased by 0.3% on April, bringing year-on-year inflation to 2.2%. According to the Statistics Office, the increase in May was generated mainly by prices of clothing and footwear, package holidays and food.

The average annual inflation rate, based on harmonised consumer price index used in the EU, stood at 3.2%, while the monthly rate was 0.4%, the office said in its preliminary report.

The most substantial increase in prices in May was recorded in the clothing and footwear group (up 1.2%), mainly on account of dearer footwear (up 4.1%) due to the arrival of new collections.

The Statistics Office also reports that the prices of package holidays went up at the beginning of tourist season, generating a 1% price increase in the group recreation and culture.

The increase in the prices of home equipment (0.8%), and food and non-alcoholic beverages (0.6%) may be attributed mainly to the 6.6% increase in the price of housing-related services, and 6.9% increase in fruit prices.

Prices of food, footwear, clothing, home equipment and package holidays contributed 0.1 percentage point to the overall growth in prices, while lower fuel prices contributed as much to the decrease in the overall increase.

While services were dearer by 0.4%, the prices of goods increased by 0.3 on April consumer prices.

Year-on-year, the highest increase in prices was generated in housing (8.7%), education (8.2%), home equipment (4.4%), alcoholic beverages and tobacco, plus accommodation and catering (4.1%).

Prices in the food and non-alcoholic beverages group meanwhile dropped by 1.5%, while those in the clothing and footwear group were down by 0.3% in May over May 2004.

Source: Slovene Press Agency STA

Author: STA