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The monthly overall inflation rate for the month of October rose to 8.5 percent, a high rate compared to previous months.
After registering decreases for several months, the inflation rate went up in the period from May to July, and it again declined in the two months leading up to September.
According to the Central Statistics Agency’s (CSA) monthly Consumer Price Index (CPI), inflation for October has jumped to 8.5 from 6.9 percent at the same period the preceding month. The increase is high when compared to what has happened over the past few months.
Most of the increases from May to June have been below one percent, or close to one percentage.
For instance, April’s inflation rate was 6.1 percent and it went up to 6.3 percent in May, while the June and July inflation rates stood at 7.4 percent and 8 percent respectively. According to the October CPI report it jumped by 1.6 percent from the 6.9 percent in September.
Inflation in the price of food items has played a significant role. The CSA report states that food price inflation for October jumped to 7.8 percent from 4.3 percent in September.
According to the report that also compared the year-on-year inflation rate, the total price index of bread and cereals in October 2013 increased by 15 percent compared to the same period last year, which significantly contributed to the rise in the indices of food and the overall Consumer Price Index. The report stated that the rise in the price of cereals mainly: teff, maize, wheat, barley and sorghum in Oromia region contributed to the rise in the food and general Consumer Price Index. Non-alcoholic beverages and coffee inflation figures declined by 6.6 percent and 7.9 percent, respectively.
On the other hand, non-food inflation rate decreased during the past two months, standing at 10 percent and 9.2 percent in September and October respectively.