Food prices push inflation to 7.9%

Jamaica’s inflation rate climbed further above the Bank of Jamaica’s (BOJ) target range in August, reaching 7.9 per cent, as higher food, transport and fuel-related costs continued to squeeze household budgets.

The Statistical Institute of Jamaica (Statin) reported Tuesday that the Consumer Price Index rose 0.6 per cent in August, driven mainly by a 1.5 per cent increase in the cost of food and non-alcoholic beverages. Higher prices for Irish potato, sweet potato, cabbage, tomato, and pumpkin helped push the food index up 1.6 per cent during the month.

Transport costs also increased 0.7 per cent, reflecting higher petrol prices and toll rates. That increase was partly offset by a 0.7 per cent decline in housing, water, electricity, gas and other fuels, largely due to lower electricity rates.