The increase in consumer prices in Romania slowed down in February, at some 0.34 percent month-on-month increase, compared to a 1.34 percent increase in prices in January. Meanwhile, the annual inflation rate went down from 5.97 percent, which was a maximum in the last 18 months, to 5.65 percent.

In February, fuel prices went up by 1.3 percent compared to January, while vegetables were 3 percent more expensive. The biggest price increase on the vegetables side was recorded for potatoes, up 4 percent, while on the general food segment, the overall increase was of 0.3 percent. This low figure was mainly due to some products being cheaper: eggs, down 5.9 percent, edible oil – down 0.7 percent and sugar, down 0.1 percent.

Service tariffs only increased by 0.22 percent, slightly higher than the increase posted in January, the biggest price increase was of 0.7 percent, in water, sewage and garbage disposal services.

The Romanian Central Bank (BNR) estimates a rate of inflation of 3.5 percent in 2013, and 3.2 percent in 2014. The BNR expects the rate to be higher – 5-6 percent in the first half of this year, but to go down in the second, however very much depending on volatile prices, such as those for agricultural products.

editor@romania-insider.com

(photo source: sxc.hu)