August brought good news for consumers in terms of prices. The inflation continues its downward trajectory and It was reduced in August to 2.3% in its interannual rate.l (comparison with the same month of the previous year), as confirmed by the data published by the National Institute of Statistics (INE) on the Consumer Price Index (CPI).
These data, now definitive, correct one tenth of the advanced data at the end of last month, which put it at 2.2%.
Among the data for August, what particularly stands out are the minor reduction food prices, which fell by six tenths in their interannual rate to 2.5%, the lowest figure since October 2021. As for core inflation, which excludes the seasonality effect, it also continued to fall to 2.7%.
The basket is moderate
The statistics explained that the eating behavior in August was the result, mainly, of the drop in prices of oils and fats, legumes and vegetables, compared to the increase they had experienced a year earlier.
The Ministry of Economy, Trade and Business stressed, in a report sent to the media, that this moderation of food prices “allows food inflation to be brought closer to the general index, thanks to the support measures adopted.”
The Ministry of Economy highlights the good data and attributes them to the support measures adopted by the government to control prices. According to the ministry headed by Carlos Body, this continued decline in the CPI “allows us to continue moving towards the European Central Bank’s 2% target.” “These factors, together with the positive evolution of the labor market, allow improving the purchasing power of citizens and the real income of households,” they emphasize.
