Geostat: Annual Inflation Rate Amounted to 6.4% in January 2020

In January 2020, the Consumer Price Index increased by 0.7% compared to the previous month, while the annual inflation rate amounted to 6.4%, the latest data from the National Statistics Office of Georgia (Geostat) shows.  

In the same period, the inflation rate without tobacco amounted to 0.6% over the previous month, while the prices increased by 5.9% compared to the same month of the previous year. With regard to the annual core inflation, the prices increased by 4.4%, while the annual core inflation without tobacco amounted to 3.4%.

The monthly inflation rate was mainly influenced by price changes for the following groups:

Food and non-alcoholic beverages: the prices in the group increased by 2.3%, contributing 0.76 percentage points to the overall monthly inflation rate. Within the group, the prices were higher for the following subgroups: vegetables (8.6%), milk, cheese and eggs (6.1%), oils and fats (4.2%), fruit and grapes (3.0%), coffee, tea and cocoa (0.6%), meat (0.4%). In addition, the prices decreased for mineral waters, soft drinks, fruit and vegetable juices (-1.2%);

Alcoholic beverages and tobacco: the prices went up by 1.8%, contributing 0.12 percentage points to the overall monthly inflation rate. The prices increased for tobacco (3.5%) and alcoholic beverages (0.6%);

Recreation and culture: the prices decreased by 4.5%, contributing to -0.18 percentage points to the overall monthly inflation rate. The prices in the group were lower for tourist trips (-16.7%).

Annual Inflation Rate 

The annual inflation rate was mainly influenced by price changes for the following groups:

Food and non-alcoholic beverages: the prices in the group increased by 11.3%, contributing 3.57 percentage points to the overall annual inflation rate. Within the group, the prices were higher for the following subgroups: fruit and grapes (28.3%), milk, cheese and eggs (15.0%), meat (14.2%), fish (12.4%), sugar, jam, honey, chocolate and confectionery (10.5%), oils and fats (8.1%), mineral waters, soft drinks, fruit and vegetable juices (7.8%), vegetables (7.0%), coffee, tea and cocoa (5.4%), bread and cereals (5.1%);

Alcoholic beverages and tobacco: the prices increased by 11.2%, with a relevant contribution of 0.76 percentage points to the overall annual CPI growth. The prices increased for tobacco (20.3%) and alcoholic beverages (3.4%);

Transport: the prices went up by 3.3%, which resulted in a 0.39 percentage point contribution to the overall annual inflation rate. The prices were higher for the purchase of vehicles (4.2%), operation of personal transport equipment (3.6%) and transport services (2.9%).