Romania: Inflation declines to lowest level since February 2022 in July 2023
Inflation fell to 9.4% in July from June’s 10.3%. July’s reading marked the lowest inflation rate since February 2022. The slowdown was primarily driven by weaker price pressures for food and non-food items. That said, services inflation picked up.
Annual average inflation fell to 13.9% in July (June: 14.3%).
Lastly, consumer prices rose a seasonally adjusted 0.15% in July over the previous month, following June’s 0.40% increase. July’s result marked the weakest reading since November 2021.
Slowing demand and high interest rates will continue to slow inflation ahead. That said, strong wage growth—which has outpaced inflation since March and picked up in Q2 compared to Q1—will likely continue to fuel price pressures in the short term.