Lithuania Inflation


Inflation drops in January

In January, consumer prices rose 0.4% over the previous month, which was half the 0.8% increase recorded in December and also down from the 1.3% increase in January 2010. Higher prices for transport as well as for food and alcoholic beverage more than offset a strong drop in prices for clothing and footwear due to the winter sales. That said, annual headline inflation dropped from 3.8% in December to 2.9% in January. Meanwhile, annual average HICP inflation rose from 1.0% in November to 1.2% in December, the last month for which data are available. The Central Bank expects HICP inflation to average 2.8% in 2011. For 2012, the Central Bank expects inflation to step up to 3.4%.

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