Lithuania: Inflation holds steady for second month in a row
April 8, 2014
In March, consumer prices increased 0.4% over the previous month, which was up from the flat reading registered in February. According to the statistical institute, the increase was mainly driven by higher prices for clothing and footwear.
Annual headline inflation was unchanged at the 0.2% tallied in the two previous months. Meanwhile, annual HICP inflation (based on the harmonized index of consumer prices) ticked up from 0.2% in January to 0.3% in February, the latest month for which data are available. Annual average HICP inflation edged down from 1.0% in January to 0.8% in February, marking the lowest level in three-and-a-half years.
The Central Bank expects HICP inflation to average 0.9% in 2014 and 1.5% in 2015. FocusEconomics Consensus Forecast panelists expect harmonized inflation to average 1.4% in 2014, which is down 0.6 percentage points from last month's estimate. Next year, the panel sees inflation at 2.4%.
Author: Carl Kelly, Economist