Vietnam’s CPI up 0.55% in May

The index marked a 3.86% rise year-on-year and 1.61% increase from the last December. In the first five months of this year, it rose by 3.01%.

Among 11 commodity and service groups, nine posted monthly hikes in prices, including transportation (1.72%); food and catering services (0.88%); housing, water and electricity supply, and construction materials (0.34%); household equipment and appliances (0.1%); beverages and cigarettes (0.08%); culture, entertainment and tourism (0.08%); apparel, headwear and footwear (0.08%); medicines and health care services (0.03%); and goods and other services (0.02%).

Post and telecommunications services prices fell 0.14%.

Do Thi Ngoc, head of the GSO’s Statistics Department, attributed the CPI growth to rising pork and animal feed prices, higher demand for dining and tourism during the April 30 – May 1 holiday, increased petrol and gasoline prices, as well as higher demand for electricity and water on hot days.

Factors curbing the CPI increase included fresh and processed fruits (down 0.03-1.16%), housing for rent (down 0.25%).

The US dollar price was down slightly at about VND22,790.

Basic inflation (CPI exclusive of fresh food, energy, and State-controlled services such as health care and education) moved up 0.11% month-on-month and 1.37% annually in May, pushing its five-month figure by 1.34%, proving that monetary policy remains stable.