Vietnam: Inflation quickens in August
August 24, 2013
In August, consumer prices rose 0.83% over the previous month, which came in well above the 0.27% increase recorded in July. According to the General Statistics Office of Vietnam, the jump was due to higher prices for health care, as well as for food and transportation, the latter of which was driven by an increase in oil prices
As a result of the monthly increase, annual inflation rose to 7.5% in August (July: 7.3%), its highest level in 15 months. Accordingly, inflation remains above the target range of between 6.0% and 6.5% for this year. Annual average inflation rose from 6.7% in July to 6.9% in August.
FocusEconomics Consensus Forecast panellists expect headline inflation to average 6.7% in 2013, which is up 0.1 percentage points from last month's forecast. According to the panel, average inflation will accelerate to 7.5% in 2014.