Inflation rate slightly down

Dutch inflation was 1.5 percent in August, i.e. 0.1 percentage points down on July. The decrease was mainly caused by price developments for clothes and petrol. Inflation is defined as the increase in the consumer price index (CPI) compared to the same month in the previous year.

Clothes were 3.0 percent cheaper in August than one year previously. This is mainly due to the fact that the summer sales lasted longer than in 2009. In July, clothing prices were 1.2 percent up on July 2009.

Petrol price developments also had a downward effect on inflation. Petrol prices were 4.7 percent up in August on one year previously, whereas in July, prices were 8.8 percent higher than in July 2009.

With 0.4 percentage points, housing, water and energy contributed most to August’s inflation rate, followed by the transport sector (0.3 percentage points). Clothing and footwear, on the other hand, had a downward effect of 0.1 percentage points. Other goods and services hardly contributed to inflation.

The harmonised consumer price index (HICP) allows comparison between the inflation rates in the member states of the European Union (EU). According to the HICP, Dutch inflation was 1.2 percent in August. Eurostat, the European statistical office, calculated an inflation rate of 1.6 percent in the eurozone. August was the ninth month in a row to show a lower inflation rate in the Netherlands than in the eurozone.

Dutch inflation