Netherlands marks 3.0% YoY inflation in August 2023

The price development of energy has had a major impact on inflation for some time now. In addition to the overall inflation rate, CBS also calculates the monthly average price developments if energy and motor fuel prices are not taken into account. Excluding energy and motor fuels, inflation would have been 6.4 per cent in August, down from 6.8 per cent in July, Statistics Netherlands (CBS) said in a press release.

The decrease in inflation was mainly due to the price development of energy. In August, energy was 46.7 per cent cheaper than 12 months previously. Prices in July were 34.5 per cent lower than in the same month last year.

The price development of energy has had a major impact on inflation for some time now. This is mainly due to high prices last year. In the second half of 2022, energy prices in the CPI increased sharply. Partly because of this, very high inflation was measured during that period. Energy prices in the CPI are now considerably lower than in 2022. Inflation is measured as the development of prices compared to the same month in the previous year, which is why it is now lower.

The price development of motor fuels, on the other hand, had an upward effect on the development of inflation. Although motor fuels were 0.6 per cent cheaper in August 2023 than in August 2022, in July 2023 the annual price decrease was 11.1 per cent. In addition to motor fuels, the prices of clothing also had an increasing effect on the development of inflation.

ALCHEMPro News Desk (NB)