Vietnam: Inflation eases to lowest level in over four years
March 24, 2014
In March, consumer prices fell 0.44% over the previous month, which contrasted the 0.55% rise recorded in February. According to the General Statistics Office of Vietnam, March's price fall was driven by lower prices for food and catering as well as for housing and construction materials. Annual inflation eased from 4.7% in February to 4.4% in March, which marked the lowest level since November 2009. As a result, inflation remains below the Central Bank's target range of between 6.0% and 6.5%. Annual average inflation edged down from 6.3% in February to 6.1% in March. FocusEconomics Consensus Forecast panelists expect headline inflation to average 7.4% in 2014, which is up 0.1 percentage points from last month's forecast. According to the panel, average inflation should accelerate to 7.8% in 2015.
Author: Dirina Mançellari, Senior Economist