Lithuania: Inflation dips in March
April 11, 2018
Consumer prices rose 0.4% in March compared to the previous month, reversing February’s 0.2% month-on-month decline. According to the Statistical Institute, the print came on the back of higher prices for clothing and footwear, and alcoholic beverages and tobacco products, which more than offset lower prices for food and non-alcoholic beverages, and transport.
Inflation plummeted to 2.7% in March, significantly below February’s 3.5% reading, and the lowest print in 14 months. Meanwhile, harmonized inflation declined for the fourth consecutive month in March, coming in at 2.5% (February: 3.2%), also the lowest reading in 14 months.
In turn, annual average harmonized inflation ticked down from February’s 3.8% to 3.7% in March, the first decrease since November 2015.
Lithuania Inflation Forecast
FocusEconomics Consensus Forecast panelists expect harmonized inflation to reach 3.0% in 2018, which unchanged from last month’s estimate. In 2019, the panel sees inflation slowing to 2.7%.
Author: Almanas Stanapedis, Economist