The Central Bureau of Statistics reported last week that Israel's Consumer Price Index (CPI) fell 0.5% in January, after falling 0.1% in December and 0.4% in November.
Over the past 12 months, the CPI fell 0.6%.This is well below the government's inflation target range of between 1% and 3%.
In January, the biggest decline was a 5.7% seasonal drop for apparel and footwear prices, public transport 1.7% and communications 0.7%. But the CPI was weighed down mainly by a 3.8% price decrease for gasoline, reflecting further declines in world petroleum prices, as well as a 2.7% decline on the price of water, after the government cut the controlled price; the food prices dropped by 0.3%, with a 0.6% drop without fruits and vegetables.
A 0.8% was recorded in the culture and education category, and a 3.6% drop was recorded in the prices of vacations in Israel and abroad. Outstanding price rises in January included municipal taxes 1.2%, and tomatoes 5.9%.
A price increase was recorded in public transportation (0.9%), in medications and medical aids (1.4%), and in municipal taxes (0.9%). The health category saw a 0.4% price rise, and the prices of furniture and home equipment were up 0.8%.
