This inflation rate is still ahead the four percent rate target set by the government and the Central Bank this year.

Out of the 13 indices included in calculating the CPI, only three indices showed a drop in the 12-month period to May 2010 while all the other indices increased at varying rates.

According to CAS, transportation costs rose 12.9 percent, while prices of fuels rose 14.1 percent, and educational services increased 9.6 percent.

Health services were one of the few services to witness a drop in prices, falling 0.7 percent. Communication services and prices of clothing and footwear items also dropped by 2.7 percent and 3.2 percent respectively.

On monthly basis, inflation dropped marginally by 0.1 percent in May compared to a month earlier (April), largely due to a drop in prices of healthcare services, CAS figures show.

Prices of health services dropped 1.6 percent, prices of transportation regressed slightly by 0.1 percent, while costs of food and beverage products dropped 0.9 percent. Costs of recreation, communication, and education remained unchanged in May compared to April.