Latvia: Inflation at an over one-year low in February
March 9, 2018
In February, consumer prices rose 0.2% from the previous month, following January’s flat reading. According to Latvia’s Central Statistical Bureau, prices for 8 out of the 12 components of the index increased over the previous month. Prices for recreation and culture, clothing and footwear, and food recorded the biggest increases. On the other hand, the largest decrease was recorded in prices for furnishing, largely due to ending sales.
Inflation came in at an over one-year low of 1.8% in February, slightly down from 2.0% in January. Consequently, average annual inflation dropped from 2.8% in January to 2.7%.
Harmonized consumer prices rose 0.2% month-on-month in February, contrasting January’s 0.1% drop. Meanwhile, HICP inflation came in at an over one-year low of 1.8% in February, below 2.0% in January. Thus, average HICP inflation came in at 2.7% in February, down from January’s 2.8%.
Latvia Inflation Forecast
FocusEconomics Consensus Forecast panelists expect HICP inflation to average 2.4% in 2018, which is up 0.1 percentage points from last month’s projection. For 2019, the panel expects HICP inflation to average 2.5%.