CPI in first four months lowest since 2016 hinh anh 1Vietnam sees rising prices of export rice (Photo: VNA)
Hanoi (VNA) – Vietnam’s consumer price index (CPI) in the January-April period inched up 0.89 percent year-on-year, the lowest growth rate since 2016, according to the General Statistics Office (GSO).

The index in April was down 0.04 percent against the previous month while up 2.7 percent year on year. The decrease was attributed to cheaper prices of food and food stuff and abundant supply, and deceasing prices of electricity and domestic water.

The office reported that urban areas recorded a decrease of 0.08 percent of CPI in April, while rural areas increased by 0.01 percent.

Director of the GSO’s Price Statistics Department Nguyen Thu Oanh said that the main reasons behind the low growth rate were the price index of the food and foodstuff group in urban areas decreased by 0.06 percent, but in rural areas increased by 0.03 percent.

Compared to the previous month, a downturn was seen in the prices of four out of 11 main groups of goods and services, with housing and construction materials taking the lead (0.43 percent). It was followed by post and telecommunication services (0.2 percent); food and catering services (0.13 percent); and culture, entertainment and tourism (0.11 percent).

The prices of garment-textile, headwear and footwear remained stable compared to the previous month.

Among the six commodity groups that witnessed increases in price, the prices of transport services posted the strongest increase of 0.87 percent, while those of drinking and tobacco 0.14 percent, equipment and household appliances 0.11 percent, commodities and other services 0.07 percent, education 0.03 percent, and medicine and medical service 0.01 percent.

CPI in first four months lowest since 2016 hinh anh 2 Shopping at the retail system of Saigon Co.op (Photo: VNA)

The GSO’s Price Statistics Department attributed the CPI rise in the first four months to a hike in domestic and export prices of rice as well as the higher demand for the grain for the Lunar New Year (Tet) festival.

The rice price in the first four months of the year increased by 7.76 percent over the same period last year, contributing to a rise of 0.2 percentage point in the CPI, said Oanh.

Prices of foodstuff in the period rose 0.2 percent year on year, while those of gas and petrol climbed by 14.69 percent and 2.49 percent, respectively, from the previous year.

Prices of educational services in January-April saw a year-on-year rise of 4.48 percent, driven by a tuition fee hike starting from the 2020-21 academic year.

On contrary, electricity prices in the period fell by 5.88 percent over the same period last year.

In the months, airlines and tourism operators introduced a host of promotions to boost tourism. On average, the air ticket prices dropped by 17.4 percent, train fares down 7.39 percent; and tour prices down 3.32 percent.

Domestic gold price in April contracted 1.9 percent over the previous month but went up 13.84 percent year-on-year, making the four-month figure up by 20.84 percent.

Although the domestic gold price was down compared to the previous month, it is still higher than the world gold price by about 6 million VND (260USD) per tael, Oanh said.

Meanwhile, that of US dollar was around 23,170 VND per USD, up 0.29 percent month-on-month but down 1.35 percent year-on-year, bringing the figure down 0.77 percent in Jan-Apr.

Core inflation in April increased 0.07 percent month on month and 0.95 percent against the same period last year.

The index expanded 0.74 percent in the first four months.

The core inflation rates in April and the first four months of 2021 compared to the same periods last year were the lowest in the past five years./.