Year on year inflation narrows in February

February 2022 general year-on-year inflation stands at 33.6 percent showing slight decrease after reaching 34.5 percent in the previous month, according to the Central Statistics Agency (CSA) monthly report.
The year-on-year food inflation has increased by 41.9 percent in February 2022 as compared to the one observed in February 2021. In the current month, cereals showed an increase in most cases, while, vegetables showed a decline as the report stated.
Teff, wheat, maize and sorghum showed price increase in most cases, as, milk, cheese and eggs, and spices (mainly salt and pepper) cooking oil and butter slightly increased in the current month. In addition coffee beans and non-alcoholic beverages prices have also increased continuously.
The non-food inflation showed an increase of 22.9 percent in February 2022 as compared to the one observed in February 2021.
The rise in non-food inflation was mainly due to rise in the prices of alcohol and tobacco, stimulants (chat), clothing and footwear, housing repair and maintenance (house rent, cement and corrugated iron sheets), and energy (firewood and charcoal), furniture and home furnishings, fuel, medical care and jewelry (gold).
Inflation based on comparison of current and last month at country level general Consumer Price Index (CPI) for February 2022 has showed an increase of 3.4 percent and the food items inflation increased by 4.8 percent as compared to the preceding month of January 2022. During the same period non-food CPI has shown 1.4 percent increase.
According to the report, the February 2022 country level CPI has increased by 34.5 percent as compared to February 2021. Also the country level overall inflation rate rose by 29.1 percent in February 2022 as when contrasted to a similar period of a year ago, according to CSA.
The country level food inflation increased by 34.7 percent as compared to the one observed a year ago while non-food inflation rate increased by 21.9 percent in February 2022 as compared to the one observed in February 2021.
This increase in the general consumer price index has been attributed to the rise observed in the indices of food and non-alcoholic beverages 41.9 percent, alcoholic beverages and tobacco by 32.0 percent, clothing and footwear by 19.7 percent, house rent, construction materials, water and fuel and power by 17.9 percent, furniture, furnishings, household equipment and operation by 42.2 percent, health 37.9 percent, transport 6.8 percent, communication by 4.4 percent, recreation and culture by 46.7 percent, education by 28.4 percent, restaurant and hotels 24.6 percent and miscellaneous goods by 26.2 percent.

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