CPI falls again in November

Hanoi (VNA) - The country's consumer price index (CPI) continued its
decline this month, falling 0.76 percent against the October's figure,
according to announcement by the General Statistics Office on Nov. 25.

The CPI increase during the first 11 months of 2008 was up 20.71 percent
compared to December 2007, and 23.25 percent over the same period last year.

Decreases were recorded in three out of ten commodity groups for the second
consecutive month, with the cost of housing and construction materials
experiencing a record fall of 4.86 percent, followed by transport and
postal services with a decrease of 4.4 percent and food and restaurant
services with a 0.07 percent drop in prices.

Tobacco and beverages experienced the highest monthly increase with 0.9
percent, while education costs saw the lowest hike in prices with just 0.12
percent.

The economic hub of Ho Chi Minh City 's CPI fell by 0.69 percent in
November, reining in the monthly CPI growth for the nation as a whole.

This decline can be attributed to five consecutive falls in the cost of
petrol between Oct. 16 - Nov. 15, lowering prices by a total of 12 percent
during this period, which in turn has brought about a decrease in
transportation costs. In addition to this, the price of construction
materials, particularly steel, has fallen by around 50 percent compared to
peak prices in July.

During November, the gold prices on the domestic market fell by 5.8 percent,
following the global market's downward trend, resulting in a year-on-year
increase of 34.49 percent.

In contrast, the USD/VND exchange rate experienced a sharp rise of 2.1
percent in November, posting a year-on-year increase of 2 percent.

The CPI for December is predicted to experience a slight increase of
approximately 0.1 percent, according to GSO's Trade and Price Department
deputy head Nguyen Duc Thang, resulting in a yearly CPI increase of 22
percent, compared to last year's figure.-Enditem