Latvia: Inflation edges up in February
March 10, 2014
In February, consumer prices were unchanged over the previous month, which was below the 0.7% increase observed in January. The reading reflected that lower prices for clothing and footwear offset higher prices for alcohol and tobacco. Annual inflation inched up from 0.4% in January to 0.5% in February, which marked the highest rate since January 2013. Harmonized consumer prices rose 0.5% over the same month last year in January (December: -0.4% year-on-year), the last month for which data are available. Annual average HICP inflation remained flat in January (December: +0.0% yoy). The Central Bank expects HICP inflation to average 1.7% in 2014. FocusEconomics Consensus Forecast panelists expect HICP inflation to average 1.5% in 2014, which is down 0.2 percentage points from last month's projection. For 2015, the panel expects HICP inflation to average 2.3%.
Author: Ricardo Aceves, Senior Economist