Tokyo Consumer Prices Increase 2.4% in December

Jiji Press

12:22 JST, December 28, 2024

TOKYO (Jiji Press) — Core consumer prices in central Tokyo rose 2.4% from a year before in December, lifted by higher electricity and gas bills and rising rice prices, the internal affairs ministry said Friday.

The core consumer price index, which excludes volatile fresh food prices, in the Japanese capital’s densely populated 23 special wards stood at 108.6 against 100 for the base year of 2020, rising for 40 months in a row.

The pace of growth accelerated for the second straight month, with rice prices logging their steepest increase on record for the third successive month.

The core CPI for 2024 grew 2.1% from the previous year, exceeding the Bank of Japan’s 2% inflation target for the third straight year, although the growth slowed from 3% in 2023.

In December, energy prices jumped 13.5% following a 7.4% increase the previous month, after the government ended its electricity and gas subsidy program. The program, however, is set to be revived for three months from January.

Food prices excluding fresh food rose 4%. Rice prices surged 63.3%, reflecting competition among distributors to secure supplies and higher production costs.

Fresh food prices jumped 17% on higher prices of tomatoes and some other produce due to poor crops, marking the steepest increase since November 2016.

As a result, the overall CPI, including fresh food prices, was up 3%. The index excluding fresh food and energy prices rose 1.8%.