Latvia: Inflation rises in January
February 11, 2014
In January, consumer prices rose 0.7% over the previous month, which came in above the unchanged reading observed in the December. The monthly increase reflected higher prices for food, alcohol and tobacco as well as for recreation and culture.
Consumer prices rose 0.4% in January over the same month last year, which contrasted the 0.4% decline registered in December. Meanwhile, harmonized consumer prices dropped 0.4% over the same month of the previous year in December (November: -0.3% year-on-year), the last month for which data are available. Annual average HICP inflation remained flat in December (November: 0.2% yoy).
FocusEconomics Consensus Forecast panelists expect HICP inflation to average 2.0% in 2014, which is down 0.2 percentage points from last month's projection. For 2015, the panel expects HICP inflation to average 2.4%.
Author: Ricardo Aceves, Senior Economist