Average CPI in 4 months increased by 0.89%, the lowest since 2016

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According to the socio-economic report in April and the first 4 months of the year announced by the General Statistics Office this morning (April 29), the consumer price index (CPI) in April decreased by 0.04% compared to the previous month due to The prices of food, food, and electricity and water for domestic use have all decreased. However, if compared with December 2020 and the same period last year, CPI increased by 1.27% and 2.7%, respectively. Average CPI in the first 4 months increased by 0.89% over the same period last year, the lowest level since 2016.

Average CPI in 4 months increased by 0.89%, the lowest level since 2016.

In the overall decrease of CPI in April, the housing and building materials group had the most decrease, 0.43%, causing the overall CPI to decrease by 0.08 percentage points, of which the price of electricity and domestic water in April decreased by 0.73% and 1.57%, gas prices also decreased by 4.86%. Meanwhile, some groups of goods with an increased index such as equipment and household items increased by 0.11%, the education group increased by 0.03%, and the drug and health services group also increased by 0.01%. Particularly, the garment, hat and footwear group has an unchanged price index.

Previously, forecasts about factors that could affect this year’s CPI, Ms. Nguyen Thi Oanh, Director of the Department of Price Statistics, General Statistics Office said that the world economy recovers, complicated changes in prices. In the world oil, the price adjustments of State-controlled commodities are the main factors affecting inflation this year.

Therefore, in order to achieve the target of controlling inflation below 4%, the General Statistics Office recommends that the price adjustment of goods managed by the State need to be at the right time and at the right dosage, taking advantage of the available months. CPI increases to adjust the prices of state-controlled products, thus limiting expected inflation. At the same time, not to increase prices in the months CPI 2020 was low to keep low compared to the same period last year. In particular, in April, prices of state-managed goods should not be raised because last April inflation fell quite deeply, by 1.54%.

In addition, commodity price adjustments should not be accumulated in the last months of the year. Because this is the time when consumer demand increases, if the price of services increases at this time, it will cause the CPI to continue to rise, the expected inflation is very high and create pressure to control inflation next year.

For health services, the General Statistics Office recommends adjusting the costs in medical examination and treatment services in July and August as usual. For petroleum products, the statistics agency proposes the Ministry of Finance and the Ministry of Industry and Trade to closely direct the change in the movement of petroleum prices in the world, combined with the price stabilization fund so that the price of these items does not affect too high for CPI.

Finally, the State Bank is recommended to synchronously and flexibly use the monetary policy tool in supporting enterprises to overcome the Covid-19 pandemic in order not to put pressure on inflation this year.

Source: ndh.vn – Translated by fintel.vn