The Producer Price Index in the 12-month period ending July 21, which marks the end of the Iranian month of Tir, increased by 3.5% compared with last year’s corresponding period, according to the latest report of the Central Bank of Iran. The CBI put the preceding month’s PPI inflation at 3.8%. The index registered a year-on-year increase of 2.7% compared with the similar month of last year. PPI (using 2011 as the base year) stood at 220.1 in Tir, indicating a 0.9% growth compared with the previous month. The importance of PPI lies in its predictive content for the future pattern of Consumer Price Index. Changes in PPI are usually reflected in CPI within a short period of time. The central bank’s latest statistics on the Consumer Price Index show the goods and services CPI for urban areas in the 12 months ending July 21, increased 9.2% compared with last year’s corresponding period.
