Inflation rises in September 

Headline inflation as measured by the year-on-year change in the National Consumer Price Index (NCPI, 2013=100)1 increased to 5 per cent last month from 3.4 per cent in August.

The monthly increases of prices of items in both food and non-food categories contributed to this increase as reflected in year-on-year food and non-food inflation recording 4.9 per cent and 5.1 per cent respectively in September 2019. In addition, the low base that prevailed in the corresponding month of the previous year also contributed for this increase, according to a media release by the Central Bank.

The change in the NCPI measured on an annual average basis increased to 2.3 per cent in September from 2 per cent in August. The monthly change of NCPI recorded 0.7 per cent in September and it was due to the price increases observed in the items of both food and non-food categories.

Within the food category, prices of vegetable, rice and big onions recorded increases. Moreover, within the non-food category, prices of the items in Education; and Clothing and Footwear sub-categories increased during the month.

Core inflation, which reflects the underlying inflation in the economy, declined to 5.6 per cent in September from 5.9 per cent in August on a year-on-year basis. However, annual average core inflation increased to 5.2 per cent in September from 5 per cent in August.