August CPI increased by 0.05%, inflation controlled

Thạch Lam |

The increase in rental housing and accommodation prices outside the family is the main reason for the consumer price index (CPI) in August 2025 to increase by 0.05% compared to the previous month.

According to the Statistics Office (Ministry of Finance), compared to the previous month, the CPI in August 2025 increased by 0.05% (urban areas increased by 0.08%; rural areas increased by 0.02%). Of the 11 main groups of consumer goods and services, 8 groups of goods increased in price, 3 groups of goods decreased in price. The main reason is the increase in rental housing and out-of- family dining prices. This insignificant increase has contributed significantly to the stable trend of CPI increases in August 2025 compared to other times.

Of which, the group of houses and construction materials had the biggest impact (up 0.21%), due to the high demand for renting during the market season (rental prices increased by 0.28%), hot weather increased electricity consumption (residential electricity prices increased by 1.01%) and construction material costs increased.

The education sector also increased significantly (increased by 0.21%), due to some private schools adjusting tuition fees for the new school year and increased demand for school supplies.

Other product groups such as garments, hats, shoes (up 0.17%), beverages and cigarettes (up 0.17%), and household appliances (up 0.11%) also recorded a slight increase due to summer consumption demand and increased production costs.

On the other hand, the increase in CPI was significantly curbed by the decline of three commodity groups. The transport sector had a clear decrease (down 0.11%), mainly thanks to domestic gasoline price adjustments (gasoline decreased by 0.2%; diesel decreased by 2.06%).

The food and beverage service group also decreased slightly (down 0.06%), but there were internal conflicts: food prices decreased (down 0.18%) due to cooling pork prices, while out-of-home food services increased (up 0.2%), due to summer travel demand.

Along with that, the postal - telecommunications group continued to decrease (down 0.04%) due to the decrease in prices of technology devices such as smartphones and tablets.

CPI in August 2025 increased by 2.18% compared to the end of 2024, up 3.24% compared to the same period last year. Meanwhile, in the first 8 months of 2025, the CPI increased by 3.25% over the same period. These increases show that the consumer price index and inflation are being well controlled. It is entirely possible to achieve the target of controlling CPI growth below 4.5%.

According to the Statistics Office, core inflation in August 2025 increased by 0.19% compared to the previous month and increased by 3.25% compared to the same period last year. On average, in the first 8 months of 2025, core inflation increased by 3.19% over the same period last year, lower than the 3.25% increase in the average CPI, mainly due to the price of food, foodstuffs, electricity, medical services, and educational services being factors that increase CPI but belong to the group of goods excluded in the list of core inflation calculation.

Thạch Lam
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