Israel's Consumer Price Index (CPI) rose 0.2% in January, the Central Bureau of Statistics reported this evening. This lifts inflation over the past 12 months to 3.1%, above the Bank of Israel's annual target range for inflation of between 1% and 3%. Even so Bank of Israel deputy governor Andrew Abir told "Globes" last week that even if inflation exceeds the target range, the Bank of Israel would be in no rush to raise interest rates.
January's CPI reading was above the analysts' expectations of between 0% and 0.1%. The rise in the price of oil on global markets and the devaluation of the shekel boosted prices in January.
There were prominent rises in food prices in January with the food index rising 1.3%. Fresh fruit and vegetable prices rose 2.1%, furniture and household equipment rose 0.7% and transport rose 0.5%. Prominent price falls were in clothing and footwear with prices fell 0.5% in January, while culture and entertainment prices fell 0.9%.
The housing prices index, which is separate from the CPI, continued to rise in the period November-December, in comparison with October-November, climbing by 1.5%. Housing prices have risen 11.3% over the past 12 months.
Published by Globes, Israel business news - en.globes.co.il - on February 15, 2022.
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