May 2019 Consumer Price Index Report
Today [Aug 26], Minister for the Cabinet Office Wayne Furbert released the May 2019 Consumer Price Index publication from the Department of Statistics.
The Minister explained, “In May 2019 consumers paid 0.3% more for the CPI basket of goods and services than they did in May 2018.
“Between April 2019 and May 2019 the average cost of all goods and services declined by 0.6%.”
The Health & Personal Care sector was the largest contributor to the year-over-year change, increasing 2.3%. The major contributor to the annual increase was the average cost of health insurance premiums.
In addition, the Food and Fuel & Power sectors also contributed to the rise in the annual rate of inflation, as price shifts in these sectors were 1.7% and 3.8%, respectively. In contrast, the Transport & Foreign Travel sector dipped 4.9% followed by the Rent sector with a 0.2% decline, year-over-year.
Between April and May, the Fuel & Power sector was the largest contributor to the month-to-month change. This sector rose 1.0%, due to a 3.1% increase in the fuel adjustment clause. The Food sector increased 0.3% and the leading month-to-month price increases were salad dressing [+4.1%] and potatoes [+3.3%].
Conversely, the Rent sector declined 2.0%, as the average cost of rental properties not subject to rental control decreased 3.9%. The Transport & Foreign Travel sector dipped 1.6% month-to-month. The average cost of airfares and premium fuels decreased 2.3% and 2.2%, respectively.
The full May 2019 Consumer Price Index follows below [PDF here]:
Meaningless and deceptive statistics, loved by economists but devoid of any relevance to real life. How many people pay rents monthly? Only if you do could you possibly benefit by reductions in rent. Reductions in costs of overseas travel? How does that benefit the average Bermudian faced with increases in healthcare costs, food and other staple costs? Good news if you purchased a new microwave, but if not how has the reduction in CPI helped?
Similar to the stats on employment, an overpaid and underworked Minister merely releases the Report without comment, proof these are not good numbers or there would be a full scale press conference.