SCI: Inflation Gap at 2.2%

EghtesadOnline: The average annual inflation gap measured by the Statistical Center of Iran among income deciles stood at 2.2% in the 10th Iranian month (Dec. 22, 2019-Jan. 22), indicating a 0.2 percentage point increase compared with the previous month.

News ID: ۷۸۵۳۳۵

01 February 2020

Low-income families experienced an annual rate of inflation 2.2 percentage points higher than that of high-income families during the month under review, Financial Tribune reported.

The inflation gap of “food, beverages and tobacco” group among income deciles decreased by 0.6 percentage point and that of “non-food and services” decreased by 0.5 percentage point month-on-month.

The average goods and services Consumer Price Index in the 12-month period ending Jan. 22 increased 38.1% for the first decile (those with the lowest income) while it grew 40.3% for the 10th decile (those with the highest income).

Average inflation rates grew by 39% for the second and fifth deciles compared with last year’s corresponding period. The annual inflation rate for the third and fourth deciles increased by 38.9%, for the sixth decile 38.7%, for seventh and eighth deciles 39.1% and for the ninth decile 39.4%.

The highest overall CPI (using the Iranian year to March 2017 as the base year) stood at 200.6 for the 10th decile and the lowest calculated was 193.4 for the first decile.

The year-on-year inflation rates increased by 24.7% for the first decile during the month under review, 25.1% for second, 25.3% for third, 25.5% for fourth, 25.7% for fifth, 25.8% for sixth, 26.2% for seventh, 26.5% for eighth, 27.2% for ninth and 28.6% for the 10th decile.

Income deciles are groupings that result from ranking either all households or all persons in the population in the ascending order according to income, and then dividing the population into 10 groups, each comprising approximately 10% of the estimated population.