Prices in Romania, up 0.61pct in April 2019; annual inflation rate rises to 4.1pct

Consumer prices in Romania rose by 0.61pct in April 2019 from the previous month and by 2.75pct from the end of 2018, while the annual inflation rate increased by 4.1pct on food prices advancing 4.98pct, non-food prices 3.66pct, and services 3.83pct, according to data with the National Statistics Institute (INS) released on Monday. March 2019 consumer prices went up by 0.49pct from February, with y-o-y inflation having advanced to 4pct. "April 2019 consumer prices increased by 4.1pct from April 2018. Y-o-y rate based on the Harmonised Index of Consumer Prices (HICP) was 4.4pct. The average consumer price rate in the last 12 months (May 2018 - April 2019) compared with the previous 12 months (May 2017 - April 2018), based on the CPI was 4.3pct, while based on HICP, the average rate was 4.1pct," says INS. The National Bank of Romania (BNR) has upwardly revised to 3pct its inflation forecast for the end of 2019, expecting an inflation of 3.1pct at the end of 2020, BNR Governor Mugur Isarescu said in February when releasing BNR's quarterly inflation report. In November 2018, BNR estimated an inflation of 2.9pct for the end of 2019 and 3.2pct for 2020. According to the National Bank of Romania, the annual inflation rate will continue to decline until the third quarter of 2019 (2.4pct) due to exogenous components and the consumer basket. Subsequently, the upper half of the inflation target range will reposition as a result of the favourable effects of fuel and citrus price reductions at the end of 2018 wearing off, and also due to the rising contribution of basic inflation. AGERPRES (RO - editor: Oana Tilica; EN - author: Corneliu-Aurelian Colceriu, editor: Adina Panaitescu)