The more moderate rise in energy lowers the CPI in April to 8.3%

The more moderate rise in energy lowers the CPI in April to 8.3%

The price of fuels and fuels lowered the increases 8.9 points in April, to 29.9%, compared to the same month of the year, after climbing 38.8% in March. Thanks to this slowdown and also to that of the rest of the energy products due to the drops in oil or gas in the international markets and due to the Government's Shock Plan, inflation remained at 8.3% last month, one tenth less than planned on April 28as confirmed by the INE this Friday.

Calviño anticipates that inflation remained at 8.3% in April, one tenth less than expected

Know more

This data from the Consumer Price Index (CPI) Vice President Nadia Calviño advanced it at the closing of the event on European funds of this Thursday. The figure is 1.5 points lower than the peak of inflation in March, which went to 9.8% year-on-year.

In any case, Cavliño admitted that "it is an unacceptable level", and assured that the Government will do "everything possible" to contain the rise in prices and return it to the reference of 2%.

If the core CPI is observed, which measures the evolution of prices by extracting the most volatile products from the shopping basket, such as energy and unprocessed foods (fruits, vegetables...), it advanced 4.4% in April, compared to the same month in 2021, a record in 1995, after 3.4% in March, and after accelerating another 3% in February.

On the other hand, the general CPI fell 0.2% in April in relation to the previous month (monthly rate). Despite the fact that the CPI continues at unusually high levels, this indicator has not fallen so much in a single month for more than 35 years, specifically since January 1987.

On the other hand, food prices registered an interannual rate of 10.1% in April, more than three points higher than that of March, due to the general rise in most of its components, highlighting the rise in meat, bread and cereals, legumes and vegetables, and milk, cheese and eggs. The prices of accommodation and restaurant services and tourist packages also rose in April due to the effect of Holy Week.

Gas price limit

In the same event on the European funds of, President Pedro Sánchez confirmed that the mechanism to lower the price of electricity and, therefore, general inflation, will be approved in an extraordinary council of ministers this Friday.

The so-called Iberian exception is going to translate into an average price of 48.8 euros per megawatt hour (MWh) for a year, slightly below the announced 50 euros/MWh.

"The mechanism will be valid for one year, guaranteeing an average price during that period of 48.8 euros, which will also provide important protection against future increases in international energy prices in a geopolitical scenario of enormous volatility", Sanchez explainedwho warned that the current energy context, marked by the war in Ukraine, “is going to last for a long time”.

Source link