Telecom price hikes drive up May monthly inflation to 1.4%

Monthly inflation rose in May, driven by increases in telecommunications package prices, reaching 1.4% compared with 1.2% in April, according to a statement issued by the Central Agency for Public Mobilization and Statistics (CAPMAS) on Wednesday.

At the beginning of last month, the National Telecom Regulatory Authority approved a plan to adjust telecommunications service prices, with increases ranging from 9% to 15% for some packages, including taxes.

CAPMAS data show that the communications category increased by 9.7% in May compared with April, significantly outpacing the food and beverages category, which rose by 2.1% over the same period.

The statistics agency’s statement also noted that the milk, cheese, and eggs category declined by 1.8% compared with the previous month, consistent with reports indicating a drop in egg prices during that period.

Meanwhile, annual inflation eased slightly in May to 13%, down from 13.4% in April, declining for the second consecutive month. However, it remains elevated compared with its level at the beginning of the year, when it stood at 10.1%.