Romania: Inflation remains stable in August
September 11, 2013
In August, consumer prices dropped 0.2% over the previous month, which was slightly above the 0.3% fall recorded in July. The decrease reflected lower prices for food products and services.
Annual headline inflation stayed put at July's 4.4%, which marked the lowest level in nearly a year. At the current level, inflation remains well above the Central Bank's target of 2.5% (plus/minus 1.0% tolerance margin). In addition, annual average inflation also remained stable at July's 5.1% rate.
The Central Bank foresees inflation ending both 2013 and 2014 at 3.1%. FocusEconomics Consensus Forecast panelists see inflation at 3.9% by the end of this year, which is up 0.1 percentage points from last month's forecast. For 2014, panelists anticipate an inflation rate of 3.6%.
Author: Dirina Mançellari, Senior Economist