Inflation rate climbs to 2.8%
Inflation hit 2.8 percent in March, driven by healthcare, food and fuel costs.This number is up from February’s inflation rate of 2.4 percent.According to the Consumer Price Index (CPI) report, the health and personal care sector continued to be the largest contributor to the 12-month increase. This sector contains items such as the cost of doctor’s visits, health insurance, prescribed and self-prescribed drugs and toiletries. The annual increase for this sector was 6.9 percent.“The food and fuel and power sectors also impacted strongly on the annual rate of inflation, advancing by 3.8 percent and 13.4 percent, respectively,” the report stated.The all-items index increased from 118.1 to 118.4 index points in March. This means that the basket of goods and services that costs $100 in April 2006 now costs $118.40.Food prices increased 0.9 percent in March with the leading contributors being peanut butter (up 3.8 percent), roasting chicken (3.8 percent), and pork loins (1.9 percent).Prices in the transport and vehicles sector rose 0.4 percent in March, as did rents (up 0.1 percent), household goods and services (0.1 percent) and the health and personal care sector (0.1 percent).Tobacco and liquor prices increased 0.2 percent for the month in response to a 0.5 percent and 0.4 percent rise in the average price of wines and spirits, respectively.Prices in the clothing, footwear and the fuel and power sectors remain unchanged in March.The only sector to record a decline was the education, recreation & reading sector, which fell by 0.1 percent for the month. This was caused by a 2.3 percent decrease in the price of sports equipment and pet costs.