Government claims cost of living is falling

| 23/09/2016 | 77 Comments

(CNS): With electricity, gas and fuel still falling in price, inflation in Cayman continues to decline, according to the Economics and Statistics Office. Finance Minister Marco Archer says that this means Caymanians now have more spending power. In the latest Consumer Price Index report, which measures inflation through changes in prices for goods and services, the ESO claims that during the second quarter of 2016, the index declined by 0.8% when compared to the same period in 2015.

The details of the report actually show some food, communications and other categories increasing, but in a release Archer said that people were benefiting from the fall in fuel costs, with inflation declining by another point this quarter from 101.4 in March.

“This means that generally the cost of living has decreased and persons have a bit more disposable income that they can choose to spend as they wish or increase their savings. Lower fuel prices pushed down the average charges for, electricity, water and related services, gas and other fuels, as well as the cost of operation of personal transport equipment,” the minister stated.

Despite what shoppers and renters may be feeling in their wallets, the ESO statistics represent a fall in housing costs and a cheaper monthly shop at the supermarket, according to the list of food items used to measure local prices.

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Category: Economy, Politics

Comments (77)

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  1. MM says:

    Why don’t they specify the BRANDS of the items which prices they have used in order to gain these statistics.

    Wow, this is going to be the most interesting election season ever.

  2. SSM345 says:

    “electricity, gas and fuel still falling in price” if you have had your electricity / gas turned off or you have sold your car because you cannot afford to run it is what Marco should have said……

  3. anonymous says:

    CNS a few months ago the Government published a strategic policy statement (SPS) where the economics and statistics office predicted that inflation would be growing by over 2% per annum for the next 4 years. Does this news (which is based on information from the same office) suggest that Government hasn’t got a clue about what is going on in the economy or why it is happening? seriously, how can they publish over 2 percent inflation growth and then 9 months later say that we have experienced 6 quarters of continued deflation?

  4. RMK says:

    Gas per gallon is average $4.04 – $4.14 depending on which service station you go to, milk per gallon is average $6.00, the fuel charges per month is more than the electricity charges on my CUC bill…pray tell how anyone can claim that the cost of living is going DOWN!!! The politician’s who are making over $10,000 per month have no struggles like the average working person does, who majority are working paycheck to paycheck to make ends meet.

  5. PPM Distress Signal says:

    Is that why we have people Dumpster Diving at certain local fastfood restaurants Marco??? Your right Tings good for da ppm and its minions because they are living Large$$$$. Well I guess the PPM are planning A Big tryptofan Turkey Christmas Fest for their CONstituents. By the way Tryptofan make you go to sleep after you eat it.

  6. Anonymous says:

    So is crime and global warming has stopped.

  7. Anonymous says:

    Can some take those rose-colored glasses off of Marco’s face please?

    I can’t imagine which world he is living in..Obviously, not mine.

    How do they make this $hit up?

  8. Read the report says:

    Look at the report. The average fell but certain items like food and clothing went up. I dont eat and wear averages I eat food and wear clothes

  9. Annie says:

    It is true that My CUC bill has declined. But my heath insurance has tripled. Thank God world oil prices have fallen. I do not see how the PPM can claim anything to do with that.

    If oil prices go higher, then what? I have insane health care costs and high utilities. And still no dock? What are they doing? We have 25% fewer cruise ship calls this October vs last October. That is major!

    I, unlike Alden, do not get paid if I do not make sales. It would be nice to just sit on my butt, but I do not have that luxury. I live in the real world.

  10. Anonymous says:

    Since they claim prices have fallen then can their pay fall also?

  11. I wept says:

    I wept last night as I saw an elderly Caymanian stole some food from Foster’s Food Fair and hid it under his shirt. What was more frightening, is that he ran into the parking lot and crawled under a SUV to hide from the security officers who chased after him. It broke my heart to see our people with no skills to hold a job now have to steal food to put some food in their stomach. It was quite a scene last night at the FFF parking lot. Wake up people, life is not easy here anymore for a lot of us. Especially the ones who lacks academics, skills or a job. Plenty things are wrong.

    • Tsk tsk tsk says:

      I was told recently that a little girl was seen going through the garbage by one of the Foster’s locations because she was hungry. She was taken inside and that person bought food for her. A child. I’m not sure where that information came from about the cost of living going down but that’s bs!

  12. Anonymous says:

    ahh!! the lengths these people will go to get re-elected…everything is wine and roses right before election..geesh..

    Do these people really believe we are that stupid?..Come on Marco! Of all of those Bozos I expected better from you…

  13. I don't see it says:

    2 combos from Burger King add up to almost $20 sorry Marco I just don’t see it

  14. gray matter. says:

    Marco must be living in Fantasy Land.

  15. Anonymous says:

    A nation of sheep will end up with a government of wolves. No more trances please people. Wake up.

  16. Anonymous says:

    Pure election spin. The only thing that has fallen in my world is my confidence in the government. None of them are suffering because of their 10-15k salaries

  17. Anonymous says:

    Makes NO sense to anyone I know.
    Is this an excuse NOT to give workers their long-overdue, and climbing Cost of Living allowances?
    This is actually the Worse “cost of barely existing” that I have ever seen it here, and no light at the end of the Cayman tunnel.
    Control Prices or give us better wages. $6 per hour min. is a shame.
    Or do Both!.

  18. Sharkey says:

    When them politicians tell you things like this crapp , they expect that to sink into your head, so that they can remind you again on the campaign trail of how life was so good while he / she/we were elected , so elect us again and life would even be better next time.

  19. Anonymous says:

    Government claims a lot of things, very few of which are true.

  20. Anonymous says:

    Where are they claiming this happening cause it sure not here, my utilities not change still high, and getting higher no matter the changes you try make

  21. Anonymous says:

    What a pile of cow dung! Wages are going down, more cheap workers being brought in to serve the masters but the privileged class is doing great. This is a recipe for a huge disaster but the elite could care less as long as they have their champagne and caviar. PPM PPM PPM. Maybe west indian fuel pumper has some ideas!

  22. Anonymous says:

    Only thing keeping me here is the high mortgage that I have been paying for years. I see other people enjoying Cayman. Not Caymanians. I cant even afford a much needed car because the mortage take up almost all of 50 percent of my pay.
    A second hand house built in the 80s. Not fancy and in dire need of repair..but cant afford it.

    Improvement must be seen before they get my vote. I will not vote you in to be able to live better than me and do nothing.

    The passive Caymanian of yesterday is gone. Dont knock on my door to ask for a vote unless you can answer the first of my many questions: 1. What evidence can you share that you placed Caymanians first these last years in office?

  23. Anonymous says:

    Not on the sister islands for sure!

  24. Anonymous says:

    Government issued propaganda. Oil / gas reduction is because of the worldwide surplus of oil. There has been nothing done internally in Cayman to reduce cost of living.

    How can cost of living go down when we import all goods? We have zero control on cost of living. If they really want cost of living reduction they need to remove duty fees we being taxed to death.

  25. Anonymous says:

    I call shenanigans..

  26. Annie says:

    I know my CUC bill is less than it was last year, and petrol expense has also held steady. But my grocery bill is way higher. So, six of one, as far as I can see.

  27. Anonymous says:

    “. . . Finance Minister Marco Archer says that this means Caymanians now have more spending power”. May I ask the Minister, how is this possible with the unemployed or those whose income allow them to just make ends meet. It might be true for him and all other MLAs as their salaries are minimum $9,081.00 KYD per month. In reality, Mister Minister, many of us Caymanians are hurting day in and day out, but what would you know about that. Get off your high horse and investigate the plight of the working Caymanian and residents I might add, then you and the other MLAs might just get a glimpse into our lives and then you would have empirical data to use to make better statements than just relying on the questionable statistics that are roll off by the ESO.

  28. Anonymous says:

    Where are they living?

    • A Nony Mouse says:

      Better yet, where are they shopping? The most common food items have all seen a major INCREASE within the last 6 months. For someone who is retired on a VERY small pension this is starting to cause weight loss and serious health issues for many!

  29. Shame Min Archer says:

    Marco should be ashamed. I was at the Independents meeting in Bodden Town and George Town and Mr Suckoo explained it quite nicely. While some items reduced, the items US Caymanians regularly consume like food and clothing actually went up. The real cost of living is not reducing. Mr Suckoo also made a good point! He said that employers are using these reports to decide whether or not to give their employees a raise. Thanks to the “do nothing” PPM and their flawed statistics I didn’t get a raise this year like many others.

  30. Anonymous says:

    There are lies, damned lies and statistics. And then there is what the Government claims.

  31. MM says:

    The cost of whose living?

    This is another fine example of how far-fetched from society our Government is!

    In the past 12 months the cost of a rental unit has increased almost double (but they would not know that living on the $10k pay eh?!)

    With 2 bedroom units now mostly between $1500 to $2200 for a typical condo-style unit which may have been as low as CI$1000 this time last year.

    What happen to those statistics? Oh yes, the Government has been oh too busy to even address the lagging Residential Tenancies Law much less keep on eye on the rental market that affects the lives of more than half of Caymanians!

    And therefore obviously much too distant to have even taken note of the turn in the real estate market (especially since they can all so easily qualify for a home loan on that six-figure salary)

    3 bedroom houses have soared out of that bracket and some are commanding over $3000 for the same house that was once $1800!!! (Any avid user of ecaytrade may have noticed the difference in the rental market).

    Why?

    Increasing population without first increasing (or encouraging the increase of)infrastructure!

    Once again, the government goes behind the people’s back with their money-making work permit scheme before at least encouraging the public to prepare for the additional populous by investing in property, apartments and even stores. This would have prepared the island for the present boom in people. Which can be a very bad thing if ill-prepared and misinformed (misinformation appears to be the PPM’s idea of progress)

    The additional work permits have flooded the market with more persons seeking accommodation than accommodations for people seeking and therefore greedy landlords are taking advantage of the vulnerable home-seekers by demanding higher rents on properties that are, essentially, being rented illegally (in light of the lack of payment of stamp duty on residential leases).

    Because of the increase in accommodations (and according to the ESO there are far more people living in rental units than owned units! – which may perhaps be their most accurate statistical observation). And therefore, the $50 that may be saved here and there from gas and food has now been replaced by the additional $200 to $1000 worth of rental expenses!

    I wish the PPM would just shut-up and take their licks and step down!

  32. CGS says:

    Marco can only tell you what the experts and economists say.
    When they say that the cost of living has fallen, many people cry foul. They claim that they are paying more at the supermarket than they did before. The question is are they comparing apples and apples or apples and oranges?
    Simplistic example: What you are paying now for a loaf of bread, a gallon of milk and a pound of chicken is less than you paid for those exact items (same brand) last year or previously.
    People are looking at their grocery bill and thinking that it is higher than ever but not realizing that last year they bought a loaf of bread, a gallon of milk and a pound of chicken, this year they bought a loaf of bread, a gallon of orange juice and steak.

    Grocery bill is higher but that is because with increased disposable income they are buying more expensive items.

    No one can, with 100% certainty say that they are buying the exact same things this year that they bought last year.

    The saying is true, the more money you make, the more you spend.
    Now you are buying steak instead of chicken so to a person, it doesn’t seem like they have more disposable income but the cost of living has decreased.

    • Really? says:

      NO …I am pinching pennies more than ever, my disposable income has not increased at all. I understand economics so dont come with that mumbo jumbo. I am paying more for meat bread and milk than I did last year. Marco gets his food catered in the LA and all those other fancy neetings he attends such as cabinet so perhaps he isnt feeling the pinch as much as us

    • A Nony Mouse says:

      My boring diet hasn’t changed and my buying habits are exactly the same for the last 5 years at least. My grocery spending has DOUBLED in that 5 years span and has drastically increased the last 6 months. Next bogus theory…

    • Anonymous says:

      this is the dumbest thing I have ever read..It doesn’t matter whether you were buying mil or orange juice, steak or chicken. If the price has increased , what’s the difference. To say that someone that was struggling buying milk last year is buying orange juice this because they have more money is asinine..

      This may be the case at your house, but get on my level and try living on steak every week..I don’t think you would last very long..I know I can’t.

  33. Anonymous says:

    Marco and the PPM…LIES,DAMN LIES AND STATISTICS…

    It is the silly season so why not some silly numbers…

    Marco ask all the Caymanians out of work or struggling whether your trumped up statistics are helping them. You insult us with your pompous attitude.

    Marco you are a real disappointment. He who feels it , knows it…

  34. Anonymous says:

    I see fuel prices going up at some stations ! as for the cost of living we have been getting it so hard for so long it wil take some time to feel the difference.

    • Anonymous says:

      It’s not a claim. It’s a fact. I certainly have more $ to spend that I did a few years ago.

    • Anonymous says:

      Can anyone tell me why Sol on SMB has gas for $4.04 and Rubis for $4.17? they are a few hundred yards away and get the gas from the same ship..Isn’t this proof enough to everyone that these guys are ripping us off…Kurt, Marco, Alden, anyone want to weigh in???

    • Anonymous says:

      I need some of what our MLA’s are smoking.

      • Cam says:

        No, you need to sit on your a$$ come next election and exercise your right NOT to vote for these clowns. Simple.

        No more support for these frauds. ALL of them need to go, NOW!

  35. Anonymous says:

    You have got to be kidding me right ! My CUC bill is the highest this month than it has ever been…..

    • Anonymous says:

      Mine too…more opaque billing…

    • Anonymous says:

      Government states cost of living has gone down?? Government of what country? I damn well know it isn’t Cayman. CUC up, Gas up, Food prices up? Have I missed anything? BS, they say this now cause elections is less than a year away

    • Anonymous says:

      That cannot be true unless you have gone all happy on the AC thermostat!. Everyone else had much lower bills

    • Anonymous says:

      Then that is down to your usage. Mine is very far from the highest it has ever been and quite near the lowest. Better close those windows and doors while the A/C is on.

  36. Anonymous says:

    Further to the previous post questioning the statistics, here is one article explaining less product, same price trickery.

    http://www.dailymail.co.uk/femail/article-3037688/Shrinkflation-sneaky-firms-making-favourite-products-smaller-NOT-shrinking-price.html

  37. Anonymous says:

    This is misleading. Just because the index has declined 0.8% does not mean the average person is suddenly going to have a windfall of disposable income. For instance, if you normally spend $2,000 monthly on utilities and consumer products, that would mean you are now spending approximately $16 less per month if you are the typical statistical sample. How is this an achievement? Furthermore, many people are not really noticing this but many products are being sold with less in it and at the same price after the recession. i.e. higher prices by the lb or quart, etc. Was this factored in the statistics?

  38. Anonymous says:

    Bullshit.

  39. Anonymous says:

    Is this about Cayman? Can’t be. The Cayman I live in sees weekly grocery and restaurant price rises…I must be in an alternate paradise…

    • Anonymous says:

      It’s not Cayman, it’s Marcoworld better known as La La Land..everything is coming up roses!

  40. Anonymous says:

    This is all due to the whim of global fuel prices. There is and has been no sustained reduction in the cost of living which is artificially high in large part to sustain an over-sized, inefficient and ineffective civil service. God help us in the longer term.

  41. Anonymous says:

    Marco you are dead duck for spouting rubbish stats and rubbing insult to injury of 100s if not tousands of Caymanians who are hurting. You are a classic intellectual yet idiot who could not make it on the private sector. Stop the lies Marco you are hurting your chances of re-election

    • CGS says:

      People were hurting last year and are probably still hurting this year but that doesn’t negate that the cost of living has fallen.
      Some people will not feel the effects of the decreased cost of living but doesn’t make it any less true.
      Everyone doesn’t have to see it materialize in their life for the statement to be true.

    • Anonymous says:

      …not to mention, actively deceiving his own people, for the sake of his political party.

  42. Anonymous says:

    For who???????? Not the people on the lower pay scale!

  43. Anonymous says:

    Too bad I can’t feed gasoline to my children! Reduce tax on healthy food and increase the tax on junk food, and do it NOW!

  44. Anonymous says:

    due to falling oil prices and improved international economic conditions…..nothing to do with the ‘do-nothing’ ppm….
    cayman is still one of the most expensive if not the most expensive place to live in the world….

  45. Anonymous says:

    Where do they come up with this bullshit! Between this and unemployment falling… Do they think we are stupid!? What an insulting claim to make.

    • Anonymous says:

      More black magic from PPM. Marco is delusional and the master of voodoo economics. He actually who believes his own bs!

    • Anonymous says:

      Very insulting. They are sitting back thinking the majority of us are fools who will believe anything we read!

  46. Anonymous says:

    So everyone is employed and everything is cheaper… Find that hard to believe.

    • Anonymous says:

      And tourism is booming, the property market has never been better, CAL is making money, crime is down and, if you hadn’t noticed, the moon really is made of green cheese.

  47. Anonymous says:

    Oh really??!! Wonder if politicians would say anything to get re-elected?? Statistics are the easiest things to “doctor”!

  48. Anonymous says:

    I can assure you the cost of food is not declining as my food cost bills have been expanding.

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