Hungary: Inflation edges up in March
April 10, 2018
Consumer prices rose 0.1% month-on-month in March, coming in below the 0.2% increase observed in February. March’s print was mostly driven by higher prices for clothing and footwear.
Inflation inched up from 1.9% in February to 2.0% in March, thereby reaching the lower band of the Central Bank’s target range of 3.0% plus or minus 1.0 percentage point. February was the first month since June 2017 in which inflation fell outside the target band. Annual average inflation in March remained unchanged at 2.2%.
Core consumer prices, which exclude volatile items such as fresh food and fuel, came in at 0.2% in March, matching the print recorded in the previous month. Lastly, core inflation edged up from February’s 2.4% to 2.5% in March.
Hungary Inflation Forecast
FocusEconomics panelists see inflation averaging 2.4% in 2018, which is down 0.1 percentage points from last month’s projection. For 2019, the panel expects inflation to rise to 2.7%.