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Finnish retail prices drops
HELSINKI: Finnish inflation dropped for the first time in five years in June as prices fell by 0.1% on a 12-month basis, official figures showed on Tuesday, 14 July 2009.
Statistics Finland said the last time inflation fell was in spring 2004 when alcohol tax was cut.
It added that consumer prices declined largely because interest rates were lower and fuel was cheaper than in June 2008.
Consumer prices rose by 0.2% in June from the previous month.
In addition to interest rates and fuel prices, the inflation rate was also curbed by a fall in house prices, cheaper second-hand cars and the lower cost of telephone calls on a 12-month basis.
Meanwhile food, rents, alcohol, restaurant and cafe services as well as health services were more expensive than in June 2008.
Source: AFP
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