In May, cheaper motor fuel had the biggest impact on the consumer price index
According to Statistics Estonia, the change of the consumer price index in May 2020 was -0.7% compared to April 2020 and -1.7% compared to May 2019. Compared to May of the previous year, goods were 1.5% and services 2.0% cheaper.
Viktoria Trasanov, a leading analyst at Statistics Estonia, noted that, “The last time the change of the consumer price index in comparison with the same month of the previous year was so substantial was more than ten years ago in December 2009, when it was also -1.7%.”
Compared to May 2019, the consumer price index was affected the most by the price decrease of motor fuel. Petrol was 18% cheaper, and diesel fuel, with excise lowered in May, was 26.8% cheaper. Electricity, heat energy and heating were altogether 9.3% cheaper. This included electricity that reached homes, which was 17% cheaper compared to the previous year. A greater impact on the index came also from more expensive food and non-alcoholic beverages. The main contributors to their price increase were fruit, and meat and meat products, which were respectively 23.3% and 8.1% more expensive. Among food products, prices fell for potatoes (-28%), fresh vegetables (-26%) and fresh fish (-22%).
Regulated prices of goods and services fell by 10.8% and non-regulated prices rose by 0.8% compared to May 2019.
Compared to April, the consumer price index was affected the most by 10.5% cheaper motor fuel and by housing where prices decreased for rent (-4.9%), electricity that reached homes (-1.6%) and gas (-6.5%).
|Commodity group||May 2019 – May 2020, %||April 2020 – May 2020, %|
|Food and non-alcoholic beverages||2.5||0.0|
|Alcoholic beverages and tobacco||-3.7||-0.1|
|Clothing and footwear||-1.1||-1.0|
|Recreation and culture||4.6||0.8|
|Hotels, cafés and restaurants||-0.4||0.7|
|Miscellaneous goods and services||0.4||-1.4|
Due to the emergency situation that was in effect in Estonia in the first half of May, some changes were made in the consumer price index production process. Instead of visiting stores, many prices were obtained from online stores, especially in the case of outlets that were temporarily closed. For cultural institutions, which are still closed, March prices were used. As air traffic partially recovered, the index was calculated taking into account flights that actually took place. There were still no package holidays. Price developments for the latter were unpredictable, and therefore, the monthly rate of change of the consumer price index was calculated using indices for goods and services that were sold, and this was applied to package holidays. The decline in the index for education was caused by the decision of municipalities not to charge place fees for kindergartens during the emergency situation.
See also the consumer price index calculator.
For the statistical activity “Consumer price index”, the main representative of public interest is the Ministry of Finance, commissioned by whom Statistics Estonia collects and analyses data. The data help to get an overview of the situation in Estonia, allowing ministries to make informed decisions.
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More detailed data have been published in the statistical database.