Last year average inflation in Latvia was 8.9%, according to data from the Central Statistical Bureau of Latvia (CSP).
At the same time, consumer prices in December 2023, as compared to November, went down by 0.8%, whereas over the course of the year consumer prices went up by 0.6% when compared to December 2022.
In December 2023, when compared to November, the biggest influence on price changes came from transport-related goods and services (-0.2 percentage points), housing-related goods and services (-0.2 percentage points), various goods and services group (-0.2 percentage points), as well as clothes and footwear (-0.1 percentage points), CSP reports.
Over the course of the month prices of food and non-alcoholic beverages remained unchanged.
The biggest price surge was for fresh fruits (+4%) and fresh vegetables (+2.5%). With discounts over, prices went up for various confectioneries (+2.9%), bread (+1%), sweets (+6.2%), as well as fruits and vegetable juices (+2%). Olive oil was more expensive as well (+4.4%).
Discounts caused prices to go down for poultry (2.3%), dried, salted or smoked meat (1.1%), as well as meat products (2.2%). Milk (2.5%), yogurt (3.5%), butter (3.3%), coffee (0.8%) and dairy products (1%) were also cheaper due to promotions. Prices fell for sugar (4.8%), as well as flour and other cereals (2.2%).
Prices of clothes and footwear went down by 2.5% over the course of the month. The average price of clothes went down by 2.4% and prices of footwear went down by 3.5% due to various discounts.
The average price level of housing-related goods and services went down by 0.9% over the course of the month. The biggest price drop in this group was observed for electricity (-4.2%) and heating energy (-0.1%).
Transport-related goods and services became 1.8% cheaper, which was mainly due to a drop in fuel prices (4.9%). Diesel fuel became 5.6% cheaper, petrol became 4.8% cheaper. Autogas became more expensive (+0.2%). Passenger transportation services became more expensive as well.
In the various goods and services group, prices went down by 3.1% over the month. Mostly due to promotions, personal care products and beauty products, as well as jewellery, were cheaper.
CSP notes that in the over consumer groups the biggest price drop was observed for pharmaceuticals, home furniture, home cleaning and care products, wine, personal computers, complex recreational services. In turn, prices increased for beer as well as strong alcoholic beverages.
In turn, the biggest impact on the changes in the average consumer price level in December 2023, compared to December 2022, was for food and non-alcoholic beverages (0.7 percentage points), alcoholic beverages and tobacco products (0.6 percentage points), health care (0.4 percentage points), as well as goods and services related to housing (2 percentage points).
In the food and non-alcoholic beverages group the price went up by 2.7% over the course of the year.
The biggest effect on the average price growth in this group was for fresh vegetables (+13%) and fresh fruits (+11.5%). Prices went up for bread (+6%) and confectioneries (+7%). Prices went up for coffee (+10.4%), pork (+9.6%), ice cream (+15.4%), olive oil (+31.1%), dried, salted or smoked meat (+3.2%), fruit and vegetable juice (+15.4%), as well as sweets (+21.2%).
Prices went down for milk (-18%), dairy products (-12.2%), cheese and cottage cheese (-6%), butter (-19%), and domestic poultry (-6.2%).
The average price level of alcoholic beverages and tobacco products went up by 8,3% over the course of the year.
The average price level of goods and services related to a home decreased by 10.3% over the year. The most significant price drop during the year was for thermal energy (19.7%). Prices decreased for electricity (12.2%), solid fuels (24.7%), natural gas (27.1%), sewerage services (11.6%) and water supply (3.1%). On the other hand, house management services increased (6.4%), house rent (9.4%), garbage collection (14%), according to CSP.
In the healthcare group the average price level went up by 6.8%. Pharmaceutical products, services of specialist doctors, dental services and services of medical analysis laboratories and radiology centres all became more expensive.
In 2022, the average annual inflation in Latvia was 17.3%, in 2021 – 3.3%, in 2020 – 0.2%, in 2019 – 2.8%, and in 2018 – 2.5%.
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