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Cyprus sees deflation in 2013 after 49 years

Cyprus experienced deflation in 2013 for the first time in 49 years according to the countrys statistical service.

The consumer price index in the crisis-battered Republic of Cyprus suffered a 0.4 percent yearly decline last year, following a decline of 2.3 percent in December on an annual rate.

In November prices had shrunk by 2.1 percent and in December 2012 prices had grown by 1.1 percent.

The statistical agency noted on Friday that the phenomenon of deflation in December 2013 was mostly due to the reduction in electricity rates, on air ticket prices and in the cost of potatoes and certain types of clothing. However, some categories of fresh vegetables saw prices rise last month.

ekathimerini.com , Monday Jan 6, 2014 (18:55)  
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