Country Report Jamaica
- ID: 2105438
- November 2015
- Region: Jamaica
- 24 Pages
- The Economist Intelligence Unit
Consumer prices rose by 0.3% in October, according to the latest data from the Statistical Institute of Jamaica (Statin). This brought 12-month inflation to 2%.
Inflationary pressures remained low in October, with the monthly rate of inflation falling to just 0.3% (from 0.4% in September). This is despite the fact that persistent drought conditions caused prices for food and non-alcoholic beverages to rise by 1.2% during the month, mainly owing to higher prices for vegetables. As in previous months, higher food price inflation was offset by a steep decline in global energy prices. The categories of housing, water, electricity, gas and other fuels was down by 2.3% in October, and transport was down by 0.6%. Lower commodity prices have helped to drive down inflation rapidly from a recent peak of around 10% just two years ago.
The October increase brought accumulated inflation for the first ten months of the year to 2.9%. The 12-month inflation rate of just 2% was only a modest rise from the 1.8% 12-month rate recorded in September, the lowest rate on record, and compares with an annual average of 8.9% in 2010-14. Lower global oil prices and increased food production in the first ten months of the year are keeping prices down. This, in turn, is helping to boost purchasing power and drive domestic consumption.