CPI ups 0.46% in January

The prices of nine out of the 11 goods groups used for calculation increased, with the highest rise recorded in transportation, at 3.21 %. 

The price of pharmaceuticals and healthcare service was up 1.01 %, while that of housing and construction materials increased 0.57 %, goods and other services, up 0.48 %, and education, up 0.47 %.

Meanwhile, a downturn was seen in food and catering service and post and telecommunications with 0.24 % and 0.15 %, respectively.

Do Thi Ngoc, deputy head of the Department for Price Statistics under the GSO, said that high demand for goods at the end of the lunar year pushed the prices of food, beverage, and clothes up.

She also attributed the increase in the food price to high demand before the Lunar New Year festival and the extended rice trade deal between Vietnam and the Philippines.

Rising healthcare service price in a number of Ho Chi Minh City’s districts was the reason behind the rise of the service price, she explained.

She added that a number of centrally-run cities also raised tuition in line with the Government’s Decree 86/2015/ND-CP, leading to a rise in the education service.

Three rises in the fuel price during December 2016 and January 2017, along with the high travelling demand during the month also caused the public transportation price to rise 1.05 %, said Ngoc.

However, factors contributing to curbing the CPI in January include a 2.2 % decline in the pork price and a 4.68 % decrease in the vegetable price due to abundant supply, she said, adding that electronic products and telephone prices also went down.

In January, domestic gold price decreased due to a downturn in world price, while the exchange rate was stable at about 22,900 VND/1 USD.

The GSO reported that core inflation (CPI excluding food, fresh foodstuff, energy and State-owned products such as healthcare services and education) in the month rose 0.28 % over the previous month and 1.88 % year on year, which reflected the stability of the monetary policy.

The GSO also forecast that February’s CPI will continue rising as the prices of food, foodstuff, entertainment, and catering services go up during the festive first lunar month