Poland: Inflation drops to over one-year low in February
March 15, 2018
Consumer prices dropped 0.2% in February, contrasting January’s 0.3% rise. February’s result was driven by a decrease in the prices for clothing and footwear and for communication, which more than offset higher prices for alcoholic beverages and tobacco and for health.
In February, inflation decelerated for the third consecutive month and came in at an over one-year low of 1.4%, below January’s 1.9%. It thus moved further away from November’s five-year high of 2.5% reading and moved just below the Central Bank’s 2.5% plus or minus 1.0 percentage point target band. Meanwhile, annual average inflation declined to 1.9% from January’s 2.0%.
Core consumer prices remained flat over the previous month in February, following January’s 0.1% decline. Meanwhile, core inflation slowed to 0.8% from January’s 1.0%.
Poland Inflation Forecast
FocusEconomics Consensus Forecast panelists expect inflation to average 2.1% in 2018, which is up 0.1 percentage points from last month’s projection. In 2019, the panel expects inflation to average 2.4%.