Description of methods and sources for Albania - INSTAT

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61IPA 2009 Multi-beneficiary StatisticalCooperation ProgrammeThe Consumers’ Price Index is used for different purposes: As a measuring of inflation rate in Albania. As a deflators for the National Account As a deflator for calculations of volume indices For compensation of change in the cost of living of households As a base for wage negotiations and other agreements As a target variable, especially for macro-economic policy, Monetary policy of the central bank of Albania11.2.2 HistoryThe first official Consumers’ Price Index was calculated in December1991 having asthe base period December 1990. In 1991 the Institute of Statistics (Directorate ofStatistics under Ministry of Finance) also calculated the CPI for December 1989 andDecember 1990. Monthly CPI has been calculated from 1992 onward. The result ofthe Household Budget Survey (HBS), carried out by INSTAT in 1993 was used forrevising the consumers’ basket of the CPI. In 1993 the CPI was calculatedconsidering the December 1993 as base period. The basket of items has 221 itemsand the expenditure was classified in 8 main groups. In 2000, INSTAT produced anew HBS and those results were used on revision of the basket of CPI. December2001 was considered as a base period where 262 items were included in the basket ofthe items.CPI in December of each years300.0250.0200.0150.0100.050.00.01988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008For the first time the expenditure was classified in 12 main groups by COICOPclassification. Last revision of the CPI was in 2007. The result of HBS 2006-2007was used for construction of the weights of items. The basket of items included now138/236
IPA 2009 Multi-beneficiary StatisticalCooperation Programme272 items and expenditure was classified in 12 main groups by COICOPclassification. December 2007 is considered as a base period. For the first time, CPIcovers the entire territory of Albania (urban and rural). The plan of next revision isforeseen in 2010.11.2.3 Structure of CPIClassificationWe use the international COICOP classification of consumers’ goods and services toorganize the list of items for consumption. Based on this classification theexpenditures are classified in 12 main groups such as:1. Food and non-alcoholic beverages2. Alcoholic beverages and tobacco3. Clothing and footwear4. Rent, water fuel and power5. Furniture household and maintenance6. Medical care7. Transportation8. Communication9. Recreation and culture10. Education11. Hotels, coffee-house and restaurant12. Other goods and serviceUnder the main groups there are some subgroups at two levels.IndicesThe Consumers’ Price Index is calculated in the above hierarchy: Total index (CPI) Index by 12 main groups Index by subgroups Index by productThis hierarchy of CPI is calculated at national level and for each region.11.2.4 CoverageGeographical coverageAlbania has 12 prefectures and CPI is using 11, where Kukës is covered by Dibërprefecture. The weights are constructed taking into consideration urban and ruralconsumption. The prices are collected only in the urban area. Prices are collected indifferent types of outlets. To draw the sample of outlets, we are based on two criteria:139/236
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