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Financial News: Estonia Consumer Prices Fall For Third Month

Estonia Consumer Prices Fall For Third Month

07/07/2020 - 08:23:00 (RTTNews)

(RTTNews) - Estonia's consumer prices declined for the third straight month in June, data from Statistics Estonia showed on Tuesday.

The consumer price index fell 1.0 percent year-on-year in June, following a 1.7 percent decrease in May.

The consumer price index was affected the most by 13.2 percent more expensive electricity that reached homes, the agency said.

"Another significant contributor was the index for education and child care institutions, which increased due to the decision of municipalities to reinstate kindergarten place fees after the emergency situation," Statistics Estonia analyst Viktoria Trasanov said.

"Also subsidies for local transport introduced during the emergency situation ended, which, coupled with 3.2 percent more expensive petrol, resulted in a more significant impact of transport on the index."

Consumer prices were affected the most by a price decrease in motor fuel. Petrol prices decreased 12.5 percent and diesel fuel was 25.0 percent cheaper.

Electricity and energy prices declined by 7.6 percent and 11.7 percent, respectively.

Meanwhile, prices of food and non-alcoholic beverages grew 2.7 percent and education rose 4.0 percent.

On a monthly basis, consumer prices rose 0.9 percent in June, after a 0.7 percent decline in the previous month.

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