The annual inflation rate went down slightly in July when compared to the previous month, but the moving 12-month average rate edged higher, mainly as a result of higher food and fuel prices.

According to data published by the National Statistics Office (NSO), in July 2019, the annual rate of inflation as measured by the Retail Price Index (RPI) was 1.68 per cent, down from 1.90 per cent in June 2019.

The twelve-month moving average rate for July stood at 1.68 per cent, up from 1.62 per cent the previous month. This particular rate, which is less sensitive to temporary changes in prices, such as sales, has been increasing steadily over the past months. In January, it stood at 1.21%.

The NSO said the largest upward impact on annual inflation was recorded in the Food Index, while the largest downward impact was recorded in the Clothing and Footwear Index.

The food index went up by 0.81 percentage points mainly due to higher prices of takeaways. Increases were also registered in the transport sector, mainly as a result of higher fuel prices, and in the recreation and culture index, mainly due to higher prices for the hire of premises and private events.

On the other hand, the clothing and footwear index went down 0.08 percentage points, probably due to sales.