Seven-month CPI lowest since 2016: GSO

July’s Consume Price Index (CPI) picked up 0.62 percent month on month and 2.64 percent against the same month last year, the General Statistics Office (GSO) announced on July 29.

The GSO largely attributed the surge to rising food prices caused by buying in localities hit by the fourth COVID-19 resurgence, the global fuel price hikes, and higher demand for electricity during summer.

The index gained 1.64 percent in the first seven months of this year, the lowest since 2016.

Compared to June, an upturn was seen in the prices of seven out of 11 main groups of goods and services, with transport taking the lead (2.36 percent). It was followed by housing and construction materials (0.88 percent), and restaurants and catering services (0.67 percent).

Among those experiencing a month-on-month downturn, prices of cultural, entertainment and tourism services were hit the hardest by COVID-19, dropping 0.1 percent. It was followed by postal and telecom services (0.05 percent), and garment-textile, headwear and footwear (0.03 percent).

The core inflation inched down 0.06 percent in July but edged up 0.89 percent from January to July. These are the lowest levels since 2011.

GSO Director Nguyen Bich Lam said it is likely that the CPI will grow further in the remaining months of the year, particularly the final months. However, it is expected to range around 3.3 – 3.6 percent, lower that the target set by the National Assembly, she added./.