Cyprus inflation slowed down in July 2024, following three consecutive months of rising rates. According to the latest data released by the Cyprus Statistical Service on Thursday, the inflation rate increased by 2.1% in July, marking a deceleration from previous months' higher rates. Inflation increased by 2.9% in June, 2.7% in May, and 2.36% in April.

The Consumer Price Index (CPI) for July 2024 saw a minor increase of 0.01 points, reaching 117.73 points compared to 117.72 points in June 2024.

For the period from January to July 2024, the CPI recorded a 2.1% rise compared to the same period last year.

The most significant changes in economic categories compared to July 2023 were observed in Agricultural Products (6.7%) and Petroleum Products (4.1%). Month-over-month, the largest change was seen in Agricultural Products, with a 4.5% increase.

Percentage change analysis

Compared to July 2023, the highest changes were noted in the categories of Restaurants and Hotels (5.4%) and Food and Non-Alcoholic Beverages (3.6%).

Month-over-month, the most substantial change was in the Clothing and Footwear category, which saw a decrease of 10.4% from June 2024.

For the period January to July 2024, compared to the same period last year, the most significant changes were in the categories of Restaurants and Hotels (5.7%) and Other Goods and Services (3.4%).

Analysis of effects in units

The categories that had the most positive impact on the CPI change in July 2024 compared to July 2023 were Food and Non-Alcoholic Beverages (0.82 points) and Restaurants and Hotels (0.55 points).

The category with the most significant impact on the month-over-month CPI change was Clothing and Footwear (-0.81 points).

The categories contributing the most to the July 2024 CPI change compared to July 2023 were Catering Services (0.53 points), Petroleum Products (0.39 points), and Fresh Vegetables (0.34 points).

Clothing (-0.53 points) had the most considerable negative impact on the CPI change in July 2024 compared to the previous month.