3 Jul 2012 17:56

Deflation in Georgia at 1.3% in H1

TBILISI. July 3 (Interfax) - Consumer prices in Georgia fell 0.9% on the previous month in June 2012 and the first half saw deflation of 1.3%, the National Statistics Service told Interfax.

Food goods went down 2.1% in June, largely due to seasonal factors. Prices went down 11.9% for vegetables and melons, 2.6% for milk, cheese and eggs and 2.5% for fruit. Prices for non-food goods went down 1.2% and prices for services were down 0.3%. Gasoline and diesel fuel prices tumbled 4.1%.

Food goods went down 3.8% in the first half and non-food goods went down 1.1%, while services went up 0.9%. Fuel prices grew 3.2%.

In the year from June 2011 to June 2012, deflation was 0.2%. Food goods went down 4.3% in this period and non-food goods - 0.6%. Service tariffs grew 6% and fuel went up 0.3%.

The Georgian government predicts inflation of 6% in 2012.

Consumer prices climbed 2% in 2011 after a rise of 11.2% in 2010.