Iran's services producer price inflation reached 16.9 percent in spring 1405

Iran's Statistical Centre reported that the producer price index for services sectors reached 543.5 in spring 1405 (base year 1400 = 100). Seasonal inflation in the sector was recorded at 16.9 percent, 5.2 percentage points higher than in winter 1404. Year-on-year services inflation reached 58 percent and annual inflation 49.3 percent, up 8.3 and 4.8 percentage points respectively from the previous quarter.

Producer price levels rose across all 13 service groups during the spring. The highest seasonal rate, 33.3 percent, was recorded for repair of motor vehicles and motorcycles, up from 15 percent in winter. Seasonal inflation in health and social work jumped from 2.6 percent in winter to 27.7 percent in spring. Accommodation and food services posted the highest year-on-year rate among service groups at 91.6 percent, while information and communication had the lowest annual rate at 26.4 percent.

According to calculations by Eghtesad Online, transport and storage, with a weight of 31.8 percent and seasonal inflation of 21 percent, accounts for roughly 48.2 percent of the seasonal rise in the overall services index. Because producer inflation feeds through to consumer inflation with a lag, these figures may signal further price pressure on households ahead.