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Inflation Falls Again in February

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In February, annual inflation, as measured by the Consumer Price Index (CPI), fell to 11.7 percent. This was 1.1 percent lower than 12.8 percent in January, and was the third successive month that inflation has declined. The annual fall in transport prices accelerated to -4.5 percent from -2.3 percent as the impact of fuel price increases in 2008 continues to dissipate. The gradual easing of food price inflation also continued, falling from 22.3 percent to 21.1 percent; and there were also declines across a range of other commodity groups, including household equipment and furnishing (from 11.2 percent to 10.1 percent), health (from 8.8 percent to 5.2 percent), recreation (from 4.5 percent to 4.0 percent) and education (from 7.7 percent to 3.6 percent). The only notable upward movement was for clothing and footwear, for which inflation rose from 6.9 percent to 7.8 percent. Using the trimmed mean and exclusion methods, inflation declined from 11.5 percent to 10.2 percent and from 16.4 percent to 15.8 percent, respectively.

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