Inflation Accelerated Slightly in October to 3.8 Percent

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BRATISLAVA, November 12, (WEBNOVINY) — The growth rate of consumer prices in Slovakia in October this year slightly accelerated. According to the Statistics Office, the annual inflation rate measured by the national consumer price index was 3.8 percent, while in September it stood at 3.6 percent. Over the first ten months compared to the same period of 2011, consumer prices increased in total by 3.7 percent. In a monthly comparison, consumer prices increased in October by 0.3 percent.

The highest year-on-year price growth in October was in transport, by 7.5 percent. Education prices have risen by 6 percent, prices of food and non-alcoholic beverages by 5.8 percent and prices in health care by 5.7 percent. As for alcoholic beverages and tobacco, prices rose by 4.2 percent and for miscellaneous goods and services by 3.9 percent. Prices in hotels, cafes and restaurants grew by 3.5 percent. The price increase in housing, supply of water, electricity, gas and other fuels by 3 percent. In recreation and culture prices grew by 2.4 percent and for clothing and footwear by 1.7 percent.

Compared to September of this year, prices in October increased of alcohol and tobacco and clothing and footwear both by 1.3 percent. Prices of food and non-alcoholic beverages increased by 0.9 percent, health care by 0.8 percent, hotels, cafes and restaurants as well as miscellaneous goods and services by 0.4 percent. Education prices rose by 0.3 percent, prices of recreation and culture increased by 0.2 percent. On the other hand, prices dropped in transport by 0.3 percent, while prices of furniture, household equipment and routine household maintenance fell by 0.2 percent. Prices of housing, supply of water, electricity, gas and other fuels remained at the level of September, similarly as prices for postal and telecommunications services.

Annualized core inflation, which monitors consumer prices excluding regulated prices and administrative interventions in the field of taxation, accelerated to 3.2 percent in October from 3.1 percent in September. Net inflation, which disregards food prices, remained 2.6 percent for September. On a monthly basis, core inflation in October was 0.3 percent, while net inflation reached 0.2 percent.

Slovakia achieved its historically lowest inflation in 2010, when due to a sharp weakening of demand in times of crisis, it reached an average of 1 percent. Last year, growth of inflation resumed. According to national methodology, average inflation in 2011 was 3.9 percent, which was in line with expectations of the Ministry of Finance. The highest growth last year was in prices of transport, energy, food and education.

SITA

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