Consumer prices on Curaçao: August 2018; Average price level 0.2 percent higher compared to July 2018; Inflation in August 2018 is 2.1 percent
WILLEMSTAD - Price development month of August 2018 compared to month July 2018
The consumer price index (CPI) of Curaçao increased by 0.2 percent in the month of August 2018, i.e. from 129.0 in July 2018 to 129.3 in August 2018. The most important price changes in August 2018 are the tariff increase of electricity and water with respectively 3 and 2 percent and the fall in gasoline price by 2 percent.
Price development month of August 2018 compared to the month of August 2017
The CPI of August 2018 (129.3) is 3.1 percent higher than the CPI of August 2017, when a CPI of 125.4 was measured. This figure (3.1%) is an indication that the consumer price level during the month of August 2018 is 3.1 percent higher than during the month of August 2017.
Long-term price development: inflation in August 2018
Inflation is a reflection of the loss of monetary value, i.e. of purchasing power, because the consumer prices for products and services increase over a longer period (usually 12 months). The inflation rate is, therefore, an indication of the average increase in the cost of living and is therefore recommended as an indexing tool for salaries, pensions, social benefits, minimum wages and other incomes.
Inflation in a given month is calculated by comparing the 12-month average of the CPI in that month with the 12-month average CPI in the same month a year earlier. Measured over the twelve months up to and including August 2018, compared with the same period a year earlier, consumer prices have increased on average by 2.1 percent: the 12-month average CPI has evolved from 124.8 in August 2017 to 127.4 in August 2018. Inflation on Curaçao in August 2018 is thus 2.1 percent.
Long-term price development: inflation last 27 months
During the past two and a quarter years (27 months), consumer price developments show a waving trend, varying between -0.5 percent (July, August and September 2016) and 2.1 percent (August 2018).