Lithuania: Inflation remains at lowest level in more than three years
October 8, 2013
In September, consumer prices rose 0.7% over the previous month, following the 0.1% increase tallied in August. According to the statistical institute, the increase was driven mainly by much higher prices for clothing and footwear as well as moderately higher prices for education and for food products.
Annual headline inflation remained at August's 0.4% in September, the lowest level since April 2010. Meanwhile, annual average HICP inflation (based on the harmonized index of consumer prices) edged down from 2.3% in July to 2.0% in August, the latest month for which data are available.
According to its macroeconomic forecasts from August, the Central Bank expects HICP inflation to average 1.4% in 2013 and 1.5% in 2014. FocusEconomics Consensus Forecast panelists expect harmonized inflation to average 1.6% this year, which is down 0.4 percentage points from last month's estimate. Next year, the panel sees inflation at 2.4%, which is unchanged from last month's projection.
Author: Carl Kelly, Economist