Lithuania: Inflation remains unchanged in December
January 9, 2014
In December, consumer prices inched down 0.1% over the previous month, following the 0.2% drop tallied in November. According to the statistical institute, lower prices for clothing and footwear and for communications offset higher prices for food products and non-alcoholic beverages, as well as for hotels, cafes and restaurants.
Annual headline inflation remained at 0.4% for the fourth consecutive month in December, which is the lowest level in nearly four years. Meanwhile, annual HICP inflation (based on the harmonized index of consumer prices) inched down from 0.5% in November to 0.4% in December. Annual average HICP inflation edged down from 1.4% in November to 1.2% in December.
According to its macroeconomic forecasts from November, the Central Bank expects HICP inflation to average 1.5% in 2014. FocusEconomics Consensus Forecast panelists expect harmonized inflation to average 2.3% in 2014, which is unchanged from last month's estimate. Next year, the panel sees inflation at 2.8%.
Author: Carl Kelly, Economist