22 February 2002
Inquiries: Mr Timo Koskimäki +358 9 1734 3479, Ms
Tina Telasuo +358 9 1734 2951, Mr Juhani Pekkarinen
+358 9 1734 3476
Harmonised Index of Consumer Prices: Ms Mari Ylä-Jarkko +358 9 1734
3310
Director in charge: Mr Ilkka Lehtinen
Inflation 2.3 per cent in January
According to Statistics Finland, the year-on-year change in consumer prices, i.e. inflation, was 2.3 per cent in January. As of January 2002, changes in consumer prices are calculated according to the new Consumer Price Index 2000=100. Calculated with the new Index, inflation in December 2001 was 1.8 per cent. The quickened rate of inflation was almost entirely due to reduction in liquid fuel prices in January 2001 and to higher food prices.
Consumer prices were put up by most, one percentage point, by higher price of food, mostly caused by risen prices of vegetables, fruit and meat. Higher prices of cultural and leisure goods and services put inflation up by 0.4 percentage points. Rent increases raised the price level from last year's January by 0.3 percentage points and higher health care prices by 0.2 percentage points. Reductions in interest rates curbed inflation by 0.6 percentage points and lower prices of liquid fuels by 0.3 percentage points. The impact on inflation from the introduction the euro was assumed to remain minor.
From December 2001 to January 2002, consumer prices went up by 0.4 per cent, mainly due to higher vegetable and fruit prices. Restaurant prices also went up, but clothing sales held the index back between December and January.
>
|
Inflation indicators in Finland, January 2002 |
|||
|
Point figure |
Change on one year |
Change on one month |
|
|
Consumer Price Index (2000=100) |
103.2 |
2.3% |
0.4% |
|
Cost of Living Index (1951:10=100) |
1,548 |
||
|
Harmonised Index of Consumer Prices (1996=100) |
110,9 |
2.9% |
0.5% |
Each mid-month, Statistics Finland interviewers collect over 65,000 prices from approximately 3,500 outlets for the Consumer Price Index. In addition, some 1,000 items of price data are gathered by centralised collection.
According to preliminary data, inflation in EMU countries 2.5 per cent in January
According to preliminary data on the Harmonised Index of Consumer Prices, the rate of inflation in the member countries of the EMU was 2.5 per cent in January. The corresponding figure for Finland was 2.9 per cent.
Eurostat's estimate on inflation in the EMU area is based on the preliminary data published by Germany and Italy and on the price development of energy. Eurostat will publish detailed data on the Harmonised Indices of Consumer Prices for January on 28 February.
Consumer Price Index revised as of January 2002
Statistics Finland has revised the Finnish Consumer Price Index. The contents of the index basket have been reviewed to correspond better with today's consumption structure. In the revision, approximately 25 per cent of the commodities included in the Index price monitoring changed. At the same time, the weight structure of the Index was adjusted to correspond with private consumption in the year 2000. The new weight structure is based on National Accounts data. The base year of the new Index is 2000.
As a result of changed consumption structure the shares of food and housing prices of the Index commodity basket decreased slightly, while those of other commodity groups increased. The commodity basket of the previous 1995=100 Index also contained membership fees of non-profit organisations, primarily diverse associations. These are no longer included in the 2000=100 Consumer Price Index, as a result of which the share of the group "Other goods and services" has diminished in the Index. Additionally, the Index now also covers the consumption of tourists and persons in institutions.
The revisions to the weight structure and commodity selection of the Index influenced the month-on-month change figures, in particular. According to the 2000=100 Index, inflation, or the year-on-year change in consumer prices, was 1.8 per cent in December 2001, whereas the 1995=100 Index put this figure at 1.6 per cent. Both the new 2000=100 Index and the previous 1995=100 Index give the same figure of 2.6 per cent as the average rate of inflation for 2001.
Introduction of euro had minor impact on inflation
As of the beginning of 2002, Finland adopted the euro in cash transactions. Most enterprises gave their prices in both the national currency and euro already in 2001. As of January 2002, prices in euro have been official selling prices. Euro denominated price data were collected for the January Consumer Price Index. Comparison with December 2001 prices was done by converting the markka denominated prices that were in use in December into euro using the official conversion rate.
Approximately one-third of the prices collected for the Consumer Price Index changed in January. Customarily, approximately 15 per cent of the collected prices change monthly.
The impact on inflation from the introduction of euro is difficult to differentiate from the other factors that influenced price levels. For example, many of the fees charged by the public sector went up in January. Adapting the prices to the new currency standard and adjusting to more convenient prices, may have put prices up or down in some cases, but their overall effect on inflation is assumed to have been minor.
The clearest individual price changes that may have been associated with the introduction of euro were increases in the prices of some gambling games. From December 2001 to January 2002, the minimum stakes in gambling games went up by 1.8 per cent, on average. The prices of restaurant and health care services, as well as those of cultural and leisure services also rose slightly more rapidly than other prices.
Source: Consumer Price Index 2002, January. Statistics Finland.
APPENDIX
>
|
Consumer Price Index 2000=100 by commodity groups |
||||||||||||||
|
Overall Index |
01 |
02 |
03 |
04 |
05 |
06 |
07 |
08 |
09 |
10 |
11 |
12 |
||
|
Weight ‰ |
1000 |
138 |
60 |
50 |
195 |
50 |
43 |
156 |
35 |
124 |
6 |
76 |
69 |
|
|
2000 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
100,0 |
|
|
2001 |
102,6 |
104,4 |
101,8 |
100,9 |
103,0 |
102,4 |
102,3 |
100,9 |
99,8 |
103,1 |
103,3 |
102,3 |
104,4 |
|
|
2000 |
I |
98,0 |
98,4 |
98,9 |
92,5 |
96,5 |
99,3 |
99,1 |
97,6 |
102,6 |
98,7 |
98,3 |
99,9 |
98,8 |
|
II |
98,8 |
99,8 |
99,3 |
95,7 |
97,3 |
99,4 |
99,3 |
98,2 |
102,9 |
99,2 |
98,3 |
99,9 |
99,0 |
|
|
III |
99,3 |
99,7 |
99,4 |
100,7 |
97,5 |
99,7 |
99,2 |
99,8 |
102,7 |
99,4 |
98,3 |
99,8 |
99,2 |
|
|
IV |
99,6 |
100,0 |
99,4 |
102,1 |
98,2 |
99,2 |
99,5 |
99,2 |
102,8 |
99,8 |
99,1 |
100,1 |
99,7 |
|
|
V |
99,9 |
100,2 |
100,1 |
102,6 |
99,0 |
99,7 |
99,5 |
99,8 |
100,0 |
99,7 |
99,1 |
100,1 |
100,0 |
|
|
VI |
100,1 |
100,5 |
100,1 |
101,9 |
99,7 |
99,8 |
99,5 |
101,7 |
93,3 |
100,0 |
99,1 |
100,2 |
100,2 |
|
|
VII |
99,8 |
100,3 |
100,3 |
94,9 |
100,6 |
99,5 |
100,2 |
101,1 |
91,6 |
100,2 |
99,1 |
99,5 |
100,5 |
|
|
VIII |
100,2 |
100,2 |
100,4 |
100,1 |
101,2 |
99,9 |
100,3 |
100,3 |
97,3 |
99,8 |
99,1 |
99,3 |
100,6 |
|
|
IX |
101,1 |
100,7 |
100,5 |
102,2 |
102,2 |
100,3 |
100,4 |
101,5 |
102,2 |
100,2 |
102,4 |
100,0 |
100,2 |
|
|
X |
101,1 |
99,6 |
100,5 |
102,7 |
102,6 |
100,7 |
101,2 |
100,9 |
101,9 |
101,2 |
102,4 |
100,2 |
100,6 |
|
|
XI |
101,1 |
100,1 |
100,5 |
102,7 |
102,7 |
101,2 |
101,0 |
100,4 |
101,6 |
100,7 |
102,4 |
100,5 |
100,7 |
|
|
XII |
101,0 |
100,4 |
100,5 |
101,9 |
102,5 |
101,3 |
100,8 |
99,5 |
101,0 |
101,1 |
102,4 |
100,6 |
100,7 |
|
|
2001 |
I |
100,9 |
102,3 |
101,5 |
93,2 |
102,0 |
101,4 |
101,2 |
99,3 |
100,6 |
101,0 |
102,4 |
101,4 |
102,5 |
|
II |
101,5 |
102,3 |
101,6 |
95,1 |
102,9 |
101,5 |
101,5 |
100,2 |
100,2 |
101,6 |
102,4 |
101,9 |
103,7 |
|
|
III |
102,1 |
102,7 |
101,6 |
101,7 |
102,8 |
101,8 |
101,7 |
100,2 |
100,0 |
102,6 |
102,4 |
102,1 |
103,8 |
|
|
IV |
102,5 |
102,8 |
101,7 |
103,3 |
102,8 |
102,2 |
101,6 |
101,4 |
100,1 |
103,5 |
102,4 |
102,4 |
104,7 |
|
|
V |
103,2 |
104,9 |
101,7 |
103,0 |
103,2 |
102,6 |
101,7 |
103,2 |
100,4 |
103,2 |
102,4 |
102,8 |
104,7 |
|
|
VI |
103,2 |
105,6 |
101,7 |
101,8 |
103,8 |
102,6 |
101,8 |
102,8 |
96,3 |
103,5 |
102,4 |
103,1 |
104,7 |
|
|
VII |
102,4 |
105,5 |
101,8 |
94,6 |
103,7 |
102,3 |
102,5 |
101,1 |
94,6 |
103,0 |
102,4 |
102,4 |
104,7 |
|
|
VIII |
102,8 |
105,4 |
101,8 |
101,2 |
103,6 |
102,2 |
102,4 |
100,7 |
98,2 |
102,7 |
102,4 |
102,6 |
104,8 |
|
|
IX |
103,5 |
105,7 |
101,8 |
103,7 |
103,9 |
102,6 |
102,6 |
101,6 |
101,8 |
103,9 |
105,1 |
103,1 |
105,2 |
|
|
X |
103,3 |
105,2 |
101,8 |
104,4 |
103,1 |
103,0 |
103,6 |
100,8 |
101,8 |
104,4 |
105,1 |
102,7 |
104,9 |
|
|
XI |
102,8 |
104,9 |
101,8 |
104,4 |
102,4 |
103,3 |
103,7 |
100,2 |
101,7 |
103,6 |
105,1 |
102,0 |
104,5 |
|
|
XII |
102,8 |
105,9 |
102,7 |
103,9 |
101,7 |
103,4 |
103,9 |
99,5 |
101,6 |
103,9 |
105,1 |
101,8 |
104,5 |
|
|
2002 |
I |
103,2 |
109,4 |
103,4 |
94,1 |
102,1 |
103,2 |
105,5 |
99,6 |
101,3 |
104,3 |
105,1 |
103,5 |
105,2 |
|
Change on one month, % |
||||||||||||||
|
2001:12 - 2002:1 |
0.4 |
3.4 |
0.7 |
-9.4 |
0.4 |
-0.2 |
1.6 |
0.2 |
-0.2 |
0.4 |
0.0 |
1.7 |
0.7 |
|
|
Change on 12 months, % |
||||||||||||||
|
2001:1 - 2002:1 |
2.3 |
7.0 |
1.9 |
1.0 |
0.1 |
1.7 |
4.3 |
0.3 |
0.7 |
3.3 |
2.6 |
2.1 |
2.7 |
|
|
COMMODITY GROUPS |
||||||||||||||
|
01. |
Food and non-alcoholic beverages |
07. |
Transport |
|||||||||||
|
02. |
Alcoholic beverages and tobacco |
08. |
Communications |
|||||||||||
|
03. |
Clothing and footwear |
09. |
Recreation and culture |
|||||||||||
|
04. |
Housing, heat and light |
10. |
Education |
|||||||||||
|
05. |
Furnishing, household equipment and routine maintenance of the house |
11. |
Hotels, cafes and restaurants |
|||||||||||
|
06. |
Health and medical care |
12. |
Miscellaneous goods and services |
|||||||||||