The Consumer Price Index (CPI) fell 0.2% in January, the Central Bureau of Statistics reported this afternoon. This was below expectations as analysts had expected the CPI to remain unchanged, and it seems that the slowdown is continuing into 2013.
The CPI was pulled down in January by an 8.5% fall in clothing prices while footwear prices fell 7.4% last month, mobile phone call prices fell 2.4% and hotel prices fell 5.9%.
This means that the CPI has risen by 1.5% over the past 12 months, in the lower half of the government's 1-3% target range.
Despite the overall fall in prices last month, fresh vegetable prices rose 12.6% in January, water prices rose 2.4%, vehicle prices rose 0.7% and dairy prices rose 0.7%.
Inflation was 1.6% in 2012 after the CPI rose 0.2% in December.
Published by Globes [online], Israel business news - www.globes-online.com - on February 15, 2013
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