Tuesday 11/24/20
INFLATION

Tobacco, vegetables, medical services pushed prices up in October

The price increase from one year back was curbed most by reductions in the prices of hotel rooms and fuels as well as decreases in average interest rate on housing loans. 
A clothing store in Helsinki. Photo: Foreigner.fi.
A clothing store in Helsinki. Photo: Foreigner.fi.

Despite the pandemic, which has plunged prices in some European countries, in Finland inflation continued with its moderate upward trend in October. The year-on-year change in consumer prices was 0.2%. In the previous month, September, inflation stood also at 0.2%.

According to Statistics Finland's calculation, consumer prices were raised most in October by increases in the prices of cigarettes, vegetables, games of chance, medical examination and treatment fees and wireless telephone services from one year ago.

The price increase from one year back was curbed most by reductions in the prices of hotel rooms and fuels as well as decreases in average interest rate on housing loans.

From September to October, the month-on-month change of consumer prices was 0.1% which was caused by higher prices of international flights, for example.

Inflation-Finland-October-2020Source: Statistics Finland.

Each mid-month, Statistics Finland's interviewers collect altogether 21,000 prices on nearly 470 commodities from approximately 2,200 outlets for the Consumer Price Index. Price data is supplemented with scanner data including around 3 million prices.

Inflation in euro area -0.3%

According to the preliminary data on the Harmonised Index of Consumer Prices, the rate of inflation in the euro area was -0.3% in October. The final euro area inflation for September was -0.2 per cent. The corresponding figure for Finland was 0.2% in October.

The consumption items included in the Harmonised Index of Consumer Prices, as well as the rules governing its compilation, have been defined in EU regulations.

The index does not include owner-occupancy, games of chance, interests on consumption and other credits, fire insurance on owner-occupied dwellings, the vehicle tax or fishing and hunting fees.

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