Quarterly headline inflation increases by 0.7pc

QUARTERLY headline inflation, as measured by the Consumer Price Index (CPI), increased by 0.8 per cent in the second quarter of 2019, according to the Bank of Papua New Guinea’s June Quarterly Economic Bulletin.
This is compared to an increase of 0.7 per cent in the first quarter.
By expenditure group, consumer prices increased in the transport, recreation, restaurants and hotels, alcoholic beverages, tobacco and betel nuts, household equipment, miscellaneous, food and non-alcoholic beverages and housing expenditure groups.
The communication, health and clothing and footwear expenditure groups recorded declines.
The education expenditure group recorded no price change during the quarter.
By urban centre, prices increased in all the surveyed centres. Annual headline inflation was 4.0 per cent in the second quarter, compared to an increase of 4.5 per cent in the previous quarter.
In the second quarter, the average daily kina exchange rate appreciated against the Australian dollar by 1.3 per cent to 0.4226, the pound sterling by 0.9 per cent to 0.2301 and the euro by 0.7 per cent to 0.2633, while it depreciated against the US dollar by 0.3 per cent to 0.2958 and the Japanese yen by 0.5 per cent to 32.5192.