Poland: Inflation accelerates in December
January 13, 2011
In December, consumer prices increased 0.4% over the previous month, accelerating from the 0.1% rise recorded in November. According to the Central Statistics Office (GUS), the higher monthly reading was the result of increasing prices for transport (+2.6% month-on-month), and housing (+0.2% mom), although these rises were offset to some extent by falling prices for clothing and footwear (-0.2% mom). As a result of the monthly price increase, annual headline inflation stepped up from 2.7% in November to 3.1% in December, which was exactly in line with market expectations. Inflation is now at its highest level in 11 months, after having reached a three-year low of 2.0% in August. The Central Bank estimates that inflation will end 2011 at 3.0% and remain at this level in 2012.