Taiwan: Inflation jumps in October due to bad weather conditions
November 1, 2016
In October, consumer prices jumped 1.45% over the previous month, coming above the 0.46% increase recorded in September. The Directorate-General of Budget, Accounting & Statistics (DGBAS) commented that typhoons and heavy rains prompted prices for fresh food, particularly fruit and vegetables, to increase substantially over the previous month. In addition, the end of the government’s subsidy to summer electricity fares prompted electricity prices to jump in October.
Inflation jumped to 1.7% in October, increasing from the 0.3% recorded in September and marking the highest reading since April. Meanwhile, annual average inflation inched up from 1.0% in September to 1.1% in October.
Core consumer prices, which exclude prices for electricity and fresh food, rose 0.5% over the previous month in October, which was up from the 0.1% increase in September. Core inflation remained stable at September’s 1.0% in October.
Author: Ricardo Aceves, Senior Economist