14 November 1997
Inquiries: Ms Arja Kinnunen, tel. +358 9 1734 3479,
and Mr Juhani Pekkarinen, tel. +358 9 1734 3476
Harmonised Consumer Price Index of the EU: Mr Jarko Pasanen, tel.
+358 9 1734 3423
Statistical Director in charge: Mr Jarmo Hyrkkö
Consumer prices up by 1.7 per cent over the year
Statistics Finland's consumer price index indicated an increase of 1.7 per cent in consumer prices in the year to October. The inflation rate was slightly up on the figure for September, when the year-on-year increase in consumer prices was 1.6 per cent. From September to October the increase in prices amounted to 0.3 per cent.
Year-on-year changes: food prices increase most
The sharpest year-on-year increase in the consumer price index categories was recorded for food at 3.6 per cent. Over half of the rise in food prices was due to the increase in the price of coffee, one-quarter to the increase in the prices of fruit. Rising food prices pushed up inflation by almost 0.5 percentage points.
Rising housing costs had the biggest inflationary effect, 0.5 percentage points. Housing, heating and lighting costs went up by 2.9 per cent. The increase in housing costs was mainly due to rising house prices, but rents, maintenance costs of owner-occupied dwellings and electricity went also up. Inflation was also fuelled by rising prices of alcoholic beverages, cigarettes, used cars, membership fees and package-tours.
Inflation in October was curbed mainly by cuts in the interest rates of housing and consumer loans: this reduced the year-on-year change in consumer prices by 0.3 percentage points.
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| Price development over the year, % | |||
| Prices that rose most 10/1996 - 10/1997 | Prices that fell most 10/1996 - 10/1997 | ||
| Coffee | 55.7 |
Garden chair | 30.8 |
| Banana | 19.4 |
Computer games | 30.2 |
| Kiwi fruit | 18.4 |
Carrot | 15.8 |
| Onion | 16.2 |
Shrimps | 14.3 |
| House prices | 15.9 |
Fresh fish | 11.8 |
Changes from September to October: petrol prices continue to fall
Consumer prices increased by 0.3 per cent from September to October. The main factor was the rise in prices of clothes and footwear. The price of houses, package-tours and light fuel oil were also up. In October, inflation was curbed mainly by the reduction of petrol prices. This was the second month running that petrol prices came down by around two per cent.
Over 40 000 prices are collected for the consumer price index from about 2 000 outlets each mid-month. In addition, price data on some 600 items are gathered by centralised collection.
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| Inflation indicators in Finland | |||
| Point figure | Change on one year | Change on one month | |
| Consumer Price Index (1990=100), October |
114.9 | 1.7 % | 0.3 % |
| Cost of Living Index (1951:10=100), October |
1 426 | ||
| Harmonised Consumer Price Index of the EU (1996=100), October | 101.9 | 1.6 % | 0.2 % |
| Indicator of underlying
inflation (1990=100), September |
112.8 | 1.2 % | 0.2 % |
Ireland has lowest EU inflation rate in September
In September the lowest inflation rate within the EU was recorded in Ireland at 0.6 per cent. The harmonised EU consumer price index put the figure for Finland at 1.6 per cent, just below the EU average of 1.8 per cent.
In October the Finnish point figure on the harmonised consumer price index (1996=100) was 101.9, with the year-on-year change at 1.6 per cent. The change from September to October was 0.2 per cent.
Source: Consumer price index 1997, October. Statistics Finland