Italy: Inflation slows to lowest level in more than two years
March 1, 2013
In February, consumer prices rose 0.1% over the previous month, which was down from the 0.2% rise recorded in January. The monthly rise was driven by higher prices for transport as well as for recreation and culture. As a result of the more moderate increase, annual inflation dropped from 2.2% in January to 1.9% in February, marking the lowest inflation rate since November 2010.
The core inflation index, which excludes more volatile categories such as unprocessed food and energy, was unchanged over the previous month, mirroring January's reading. As a result, annual core inflation fell from 1.7% in January to 1.5% in February. Finally, annual HICP inflation averaged 3.1% in February, which was down from the 3.2% recorded in January.
FocusEconomics Consensus Forecast panellists expect inflation to average 2.1% in 2013, which is unchanged from the previous month's projection. For 2014, panellists expect inflation to average 1.8%.