Bulgaria Inflation


Inflation continues to decelerate in September

In September, consumer prices rose 0.03% over the previous month, which contrasted the 0.25% increase in August and was down from the 0.75% increase tallied in September 2010. The monthly reading reflected lower prices for clothing and footwear (-0.74% month-on-month) as well as for leisure and recreation (-3.96% mom), which almost completely offset higher prices for food and non-alcoholic beverages (+0.14% mom) and health (+1.19% mom). Annual inflation stepped down from 4.1% in August to 3.3% in September, the lowest level since August 2010 and below market expectations of a 3.5% rate. However, annual average inflation remained unchanged from August's 4.5%, the highest level since October 2009. The government expects inflation to average 3.6% this year.


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