Romania’s annual inflation stayed in negative territory in May 2016 too, at – 3.5 percent, in a slight decrease from – 3.3 percent in April, according to the data released by the National Institute of Statistics (INS) on Friday.
“Consumer prices in May 2016 compared with May 2015 were by 3.5 percent lower, measured through the Consumer Price Index (CPI) and by – 3 percent lower, measured through the Harmonised Index of Consumer Prices (HICP),” INS points out.
Last month, the share of goods and services with a price decrease compared with April 2015 accounts for 66.9 percent and those that recorded increases in the 0 – 2.5 percent interval hold a 19.8 share. The goods and services the prices of which increased by more than 2.5 percent hold a 13.3 share.
The average increase in the consumer prices over the past 12 months (June 2015 – May 2016) from the previous 12 months (June 2014 – May 2015), calculated based on the CPI, stands at – 2.1 percent. Based on the HICP, the increase was -1.7 percent.
Inflation remains in negative territory until July this year and will return in the range of the stationary target of 2.5 percent at the end of the forecast horizon, the Governor of the National Bank of Romania (BNR) Mugur Isarescu stated recently in a press conference.
Central bank has revised down its inflation forecast for this year to 0.6 percent, down 0.8 percentage points from the estimate announced in February, according to the quarterly Inflation Report.
For 2017, the central bank has forecast an inflation of 2.7 percent, also down from the estimate of February, when BNR predicted an increase in consumer price of 3.4 percent for the end of next year.