The Consumer Price Index (CPI) rose five percent in January 2023 over the same period last year, but there was a slight overall decrease in prices when compared to December 2022, the Bahamas National Statistical Institute (BNSI) reported last night.
The categories that contributed to the year-over-year rise of the CPI included recreation, food and non-alcoholic beverage, and alcoholic beverages with increases of 20 percent, 11 percent and 11 percent, respectively.
The monthly inflation rate, which represents the overall change in prices, for January decreased by 0.1 percent when compared to December 2022.
This decrease is reflected in the overall price of items purchased by the average consumer during this period.
This January 2023 decrease followed a 0.4 percent decrease between November and December 2022, BNSI reported.
It said the food and non-
alcoholic category saw a decline of 1.3 percent when compared to the previous month.
Both restaurants and hotels along with miscellaneous goods also recorded a decline of 0.5 percent.
However, over this same period, alcoholic beverages, tobacco and narcotics saw an increase of 6.2 percent, while health services increased by 2.7 percent for January, BNSI also said.
BNSI reported that diesel prices were up 26 percent, and gasoline rose four percent compared to this period in 2022.
However, compared to December 2022, gasoline prices declined by eight percent while diesel prices dropped six percent for January 2023.
Consumer prices were up most sharply in July 2022 over the previous year when they rose by 7.1 percent.
Inflation remains a significant issue for Bahamians, amid stagnant salaries for many people.
In January, the minimum wage increased from $210 per week to $260 but with high costs for food, fuel, energy and other necessities, many find it hard to make their dollars stretch.
Further increases in power bills have been foreshadowed for the coming months, and an increase in the National Insurance rate is expected come July.
In response to heightened concerns regarding inflation in October, the prime minister announced new price control measures for categories of food and medicines, but those measures were temporary and their impact on consumers' pockets is not widely known.
Last week, Minister of Economic Affairs Michael Halkitis told reporters the government is looking to put in place a permanent expanded price control list when the temporary list expires in April.
While diesel and gasoline prices declined from the level they were at in December, they remain elevated over the previous year.
Petroleum Retailers Association officials are asking the government to adjust their margin in order for them to stay in business.
In December, Halkitis said the government does not want to do something that will lead to an immediate increase in the price at the pump.
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