Taiwan: Inflation slows to lowest level in more than a year
May 6, 2013
In April, consumer prices rose 0.60% over the previous month, which contrasted the 1.43% price drop recorded in March. According to the Directorate General of Budget, Accounting & Statistics (DGBAS) the monthly increase was mostly the result of higher prices for clothing as well as for vegetables.
Annual headline inflation slowed down from 1.4% in March to 1.0% in April, below market expectations, which had inflation reaching 1.2%, and marking the lowest level seen since February 2012. Meanwhile, the core inflation index - which excludes volatile categories such as fresh food and energy - rose 0.5% in March, prompting annual core inflation to decrease from 1.2% in March to 0.9%.
FocusEconomics Consensus Forecast panellists expect inflation to average 1.6% in 2013, which is down 0.1 percentage points from last month's forecast. Next year, the panel sees inflation inching up to 1.8%.