CPI slows down in April

The Consumer Price Index (CPI) in April increased by only 0.14 percent compared to March, but was up 9.23 percent over the same period last year, said the General Statistics Office (GSO).

As a result, the four-month CPI rose by 4.27 percent against December 2009 and 8.69 percent compared to the first four months of last year.

Nine out of 11 groups of goods saw an increase in prices from 0.12-2.51 percent. Commodities which posted the highest increase of 2.51 percent included housing and construction materials, followed by household utensils, beverages, cigarettes, textiles and garments, and footwear.

Education and transportation costs saw the lowest rise of 0.12 percent while food and drink, post and telecommunication services experienced a decrease. The drop in food and drink prices is considered the major reason for the slowdown of the CPI in April because they make up 40 percent of the CPI.

According to the GSO, the surge in the price of housing and construction materials did not seriously affect the index in April as they count for only 10 percent.

Gold prices in April were down 0.8 percent compared to March, following a fall in the global market. This led to a 4.53 percent decrease in gold prices in the last four months as compared to December 2009.

The price of US dollar went down by 0.28 percent against the previous month which is attributed to the policy to change the exchange rate by the State Bank of Vietnam.

The GSO says the CPI in May is estimated to rise by 0.3-0.4 percent.

Tags: Vietnam CPI, Vietnam economic, Vietnam economy