Czech Republic inflation comes in at multi-year highStaff Writer | October 11, 2017
Consumer prices dropped 0.1% in Czech Republic in September over the previous month, matching August’s month-on-month result.
Cheaper package holidays, due to the end of the summer season, offset higher prices for clothing and footwear. Moreover, the price of services recorded a noticeable decrease, while goods recorded a small increase in prices.
Inflation, however, increased from 2.5% in August to 2.7% in September, the highest level since November 2012.
As a result, inflation is nearing the upper limit of the Central Bank’s 1.0%–3.0% target range.
Annual average inflation, meanwhile, increased from 2.0% in August to 2.2% in September, matching a figure last seen in July 2013.
The Central Bank expects average inflation of 2.4% for 2017 and 2.0% for 2018.
FocusEconomics Consensus Forecast panelists project that inflation will average 2.3% in 2017, which is unchanged from last month’s forecast.
For 2018, panelists expect inflation of 2.1%, unchanged from last month’s projection. ■