Annual Inflation Clocked at 3.4% ({{commentsTotal}})

Source: Photo: Postimees/Scanpix

Electricity and food prices continue to have the largest impact on Estonia's consumer price index, which in July showed 3.4 percent growth compared with a year earlier and a 0.1 percent drop compared with June.

Goods were 3.1 percent more expensive and services 4 percent more expensive compared with July of 2012, according to a release by Statistics Estonia.

The year-on-year inflation figure is very much in line with the steady, 3.1 to 3.8-percent price growth seen over the previous 12 months.

Housing expenditures and food each accounted for about 40 percent of the annual rise, with the former resulting almost entirely from a 30 percent rise in household electricity prices. A 33 percent growth in vegetable prices was to blame for nearly half of the overall rise in food prices, while meat prices plumped up 5.4 percent, accounting for another fifth of the rise.

Likewise, a 6.1 percent decrease in household electricity prices helped push the consumer price index down slightly from June to July. The change was offset by a 13.6 percent monthly rise in vegetable prices.



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