BRATISLAVA, May 16, (WEBNOVINY) – Dynamics of harmonized inflation in Slovakia continued its moderate slowdown also in April. Inflation measured by the harmonized index of consumer prices (HICP) grew 3.7 percent over April while it was at 3.9 percent in March. According to the Statistics Office of the Slovak Republic, the average twelve-month inflation rate stood at 4.2 percent in the fourth month of the year remaining unchanged from March. Consumer prices surged 0.2 percent in monthly terms while in March they went up 0.3 percent.
In a yearly comparison, transportation prices grew the most over April, namely by 7.9 percent. Next come prices of health care, going up 6.3 percent, education with 5.8-percent increase, housing and energy supplies coming up 5.3-percent and miscellaneous goods and services reported a price growth of 3.8 percent. Prices swelled 3.3 percent in hotels, cafes and restaurants while a 3.1 percent growth was reported with alcoholic beverages and tobacco. Y/y price growth was reported as well with foods and soft beverages by 2.9 percent, clothing and footwear by 2 percent, recreation and culture by 1.3 percent and furniture, common house maintenance and equipment by 0.7 percent. The sole item where prices posted a y/y fall were postal and telecommunications services.
Prices in health care reported the highest dynamics in monthly terms when they surged 2.5 percent from March. Prices of clothing and footwear also had high growth pace at 2.1 percent. Prices of transportation surged 0.6 percent, and prices of miscellaneous goods and services went up 0.4 percent. Prices of furniture, common house maintenance and equipment and cafes ad restaurants swelled by the same 0.1 percent. On the other hand, prices of alcoholic drinks and tobacco went down 0.4 percent, followed by soft drinks and foodstuffs and housing and energies that both shrank 0.1 percent.
At the end of 2010, year-on-year harmonized inflation reached 1.3 percent, while in the previous year, growth of consumer prices measured by the harmonized index stagnated due to weak demand. In 2011, inflation gradually accelerated as expected to the end-of-the-year 4.6 percent. Prices swelled due to recovering demand and the government’s consolidation package, as well as higher energy prices.
This year, the predicted weaker economic performance is also expected to slow the pace of price growth. The National Bank of Slovakia estimates harmonized inflation for 2012 at 2.9 percent. Possible further consolidation measures might have a pro-growth effect on this year’s inflation.
SITA
