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Food, Tobacco Prices Lift Hungary Consumer Price Index by 3.8 Percent in July

MTI-Hungary Today 2020.08.11.

Higher food and tobacco prices lifted Hungary’s consumer price index by 3.8 percent year-on-year in July from 2.9 percent in the previous month, the Central Statistical Office (KSH) said on Tuesday.

Headline inflation, which was well over the National Bank of Hungary’s 3.0 percent mid-term “price stability” target, rose on a 7.8 percent increase in food prices and 6.3 percent higher spirits and tobacco prices. The price of tobacco products alone went up by 9.7 percent, because of an excise tax increase.

The price of services rose by 3.4 percent and consumer durable prices climbed 2.7 percent, the biggest increase in years. Clothing prices increased by 0.7 percent, household energy prices inched up 0.2 percent and the price of goods in the category that includes vehicle fuel edged down 0.1 percent. Vehicle fuel prices dropped by 4.2 percent.

Core inflation, which excludes volatile fuel and food prices, was 4.5 percent, and inflation calculated using a basket of goods and services used by pensioners was 4.3 percent.

featured photo: Zoltán Balogh/MTI