Vietnam: Inflation drops to Central Bank target in August
August 31, 2018
According to the General Statistics Office of Vietnam, consumer prices rose 0.45% over the previous month in August, contrasting a 0.09% month-on-month decline in July. Looking at a breakdown of the data, 10 out of the 11 sub-components recorded higher prices, led by food and foodstuff. The remaining sub-component, postal services and telecommunications, registered a drop in prices.
Inflation dropped to the Central Bank’s target of 4.0% in August, down from July’s 4.5%. Meanwhile, annual average inflation in August remained at July’s 3.3%. Core consumer prices, which excludes prices for rent, electricity, water, fuel and construction materials, rose 0.22% over the previous month in August, following a 0.15% month-on-month rise in July. Core inflation inched up to 1.5% in August, from 1.4% in July.
Author: Nihad Ahmed, Economist