Consumer Price Index (CPI), August 2022
Inflation rate was 9.0 percent in August 2022
The CPIF (Consumer Price Index with fixed interest rate) 12-month inflation rate was 9.0 percent in August 2022, up from 8.0 percent in July. On a monthly basis, the inflation rate according to the CPIF increased by 1.5 percent from July to August.
"Strong electricity prices contributed to the high inflation rate in August”, says Mikael Nordin, statistician at Statistics Sweden.
In brief
| Index Numbers |
Monthly changes, percent |
Annual changes, percent |
|
|---|---|---|---|
| CPI (1980=100) | 377.81 | 1.8 | 9.8 |
| CPIF (1987=100) | 245.82 | 1.5 | 9.0 |
| CPIF-XE (1987=100) | 225.94 | 0.6 | 6.8 |
- Increased interest expenses contributed with about 1 percentage point to the inflation rate according to CPI which amounted to 9.8 percent.
- The electricity prices noted a monthly price increase of 29 percent.
- Widespread price increases continued for products such as food, restaurant visits and furnishing and household equipment.
- The inflation rate according to CPIF excluding energy increased from 6.6 percent in July to 6.8 percent in August.
Higher electricity prices
The CPIF increased by 1.5 percent from July to August. In the corresponding period a year ago, the CPIF rose by 0.5 percent.
The monthly rate of change was affected by higher electricity prices which increased with 29 percent in August. The CPI basket continued to register a widespread price increase in August. Food prices increased for the ninth month straight. Prices also increased for maintenance and repair of the dwelling, furnishing and household equipment, restaurant visits, accommodation services as well as miscellaneous goods and services. Clothing showed a price increase which is normal for the season.
The upward contributions to the monthly change were offset by decreased prices for international flights, package holidays and fuel.
The table below shows changes on a monthly basis and contributions to the CPIF based on the goods and services that had the greatest impact on the CPIF in August 2022. The results are presented by COICOP category. COICOP refers to the United Nations classification of household consumption expenditure.
| Category (Coicop) | Monthly changes, percent |
Contribution to CPIF Monthly change, percentage points |
|---|---|---|
| Food (01.1) | 0.8 | 0.1 |
| Clothing (03.1) | 3.6 | 0.1 |
| Electricity (04.5.1) | 29.0 | 1.2 |
| Maintenance and repair of the dwelling (part of 04.x) | 1.7 | 0.1 |
| Furnishings and household equipment (05) | 1.9 | 0.1 |
| Fuel (07.2.2) | ‑6.9 | ‑0.2 |
| International flights (part of 07.3) | ‑25.6 | ‑0.1 |
| Package holidays (09.6) | ‑22.1 | ‑0.1 |
| Restaurants and hotels (11) | 1.5 | 0.1 |
| Miscellaneous goods and services (12) | 0.8 | 0.1 |
Seasonal patterns and temporary price changes
Price changes on goods and services may be seasonal or temporary. The figure above shows the monthly changes this year and in the two preceding years for those goods and services which had the largest impact on the CPIF monthly change.
Overall, many goods and services noted larger price changes in August compared to the corresponding month the previous two years. Food as well as maintenance and repair of the dwelling increased in August 2022 and 2021 but decreased in August 2020.
Electricity, furnishing and household equipment, restaurant visits and accommodation services registered increased prices in August the last three years. Price changes for miscellaneous good and services show a similar pattern, with the exception that the price increase in August 2022 was marginally smaller compared to the previous two years. Prices for clothing rose which is normal for the season.
International flights and package holiday noted decreased prices in August. Fuel prices decreased in August 2022 and 2020, but increased in the corresponding month 2021.
Increased inflation rate in August
The inflation rate according to the CPIF, that is, the change in the CPIF over the past 12-month period, was 9.0 percent in August 2022. This marks an increase from July when the inflation rate was 8.0 percent.
The inflation rate was affected by increased prices on food where coffee, meat, milk, cheese, eggs as well as bread and cereals had the largest contributions. Increased prices for energy products, electricity and fuel, were also contributions to the inflation rate.
Additionally, prices rose for maintenance and repair of the dwelling, furnishing and household equipment, purchase of passenger cars, restaurant visits, accommodation services as well as miscellaneous goods and services. Recreation and culture also contributed to a positive inflation rate.
The inflation rate according to the CPIF excluding energy was 6.8 percent in August, up from 6.6 percent in July.
| Category (Coicop) | Yearly change, percent |
Contribution yearly change CPIF percentage points |
|---|---|---|
| Food and non-alcoholic beverages (01) | 14.0 | 2.0 |
| Electricity (04.5.1) | 51.4 | 1.8 |
| Maintenance and repair of the dwelling (part of 04.x) | 10.7 | 0.3 |
| Furnishings and household equipment (05) | 11.9 | 0.8 |
| Motor cars (part of 07.1.1) | 9.7 | 0.5 |
| Fuel (07.2.2) | 28.2 | 0.7 |
| Recreation and culture (09) | 3.9 | 0.5 |
| Restaurants and hotels (11) | 9.7 | 0.6 |
| Miscellaneous goods and services (12) | 5.1 | 0.4 |
Other measures of inflation
Statistics Sweden calculates different inflation measures for different purposes. The CPIF is the Riksbank’s target variable, while the CPI is the measure used for purposes of compensation.
Source: Statistics Sweden
Definitions and explanations
The CPIF shows the same price trend as the CPI, but without the direct effects of a changed monetary policy. The CPIF is the Riksbank’s target variable for the inflation target.
The CPIF excluding energy (CPIF-XE) and the CPIF with constant tax (CPIF-CT) are two other measures of inflation produced by Statistics Sweden on behalf of the Riksbank. In the CPIF-XE, energy products are excluded from the CPIF, while in the CPIF-CT the taxes and subsidies associated with the products in the CPIF are kept constant.
The HICP (Harmonised Index of Consumer Prices) is produced by all EU Member States. This measure has a somewhat smaller coverage than the CPI and the CPIF, mainly because parts of households’ housing costs are omitted.
Next publishing will be
2022-10-13 at 8:00.
Statistical Database
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