Latvia: Inflation falls in December
January 13, 2015
In December, consumer prices fell 0.7% over the previous month, which followed the 0.3% decrease registered in November. December’s drop stemmed from lower prices for clothing and footwear as well as for transport.
As a result of the monthly drop, annual inflation fell rapidly from 0.9% in November to 0.2% in December, which marked the lowest level in a year. In the same vein, annual HICP inflation—based on the harmonized index of consumer prices—declined from 0.9% in November to 0.3% in December, also marking the lowest level in a year. In the full year 2014, HICP inflation averaged 0.7%, which was up the flat reading recorded in 2013.
Author: Ricardo Aceves, Senior Economist