Headline inflation fell to 2.7 percent in January from 3.1 percent in December.  Inflation fell for several commodity groups, including: alcoholic beverages and tobacco (from 6.2 to 3.9 percent, in the absence of any further increase in the alcohol levy); furnishing, household equipment and routine maintenance (from 5.5 to 4.4 percent); health (from 6.0 to 3.4 percent, as the annual rate of price increase for out-patient services declined); transport (from –5.8 to –6.0 percent); education (from 6.6 to 3.7 percent, with inflation for both pre-primary/primary education and secondary/tertiary education falling); and restaurants and hotels (from 6.2 to 5.7 percent). However, this was partly offset by rising inflation for: food and non-alcoholic beverages (from 0.7 to 1.2 percent); clothing and footwear (from 7.7 to 7.9 percent); recreation and culture (from 6.1 to 6.5 percent); and miscellaneous goods and services (from 7.3 to 7.6 percent).  Inflation was unchanged for: housing, water, electricity, gas and other fuels (9.7 percent); and communication (0.5 percent).

The trimmed mean measure of core inflation and inflation excluding administered prices fell from 3.2 to 2.8 percent and 4.5 to 4.0 percent, respectively.