Romania's annual inflation rate down to -0.5 pct in December 2016

Romania’s annual inflation rate down to -0.5 pct in December 2016

Newsroom 13/01/2017 | 12:34

The annual rate of inflation stood at -0.5 percent in December 2016, under the forecast of the National Bank of Romania of to -0.4 percent, according to the National Institute of Statistics (INS).

„The consumption prices, measured by the consumption prices index (IPC), were lower by 0.5 percent in December 2016 compared with December 2015. The annual consumption prices rate was determined based on the harmonic consumption prices index (IPAC) was -0.1 percent. In December 2016 the merchandise and services share that registered a drop in prices compared with December 2015, is 36.3 percent and the ones which has increases between 0-2.5 percent have a share of 55 percent. The goods and services whose prices grew by more than 2.5 percent have a share of 8.7 percent, ” says the release.

According to the INS, the average rate of consumption prices from the last 12 months (January 2016- December 2016) compared with the previous 12 months (January 2015-December 2015), calculated based on IPC, is 1.5 percent. Determined based on IPAC, the average rate is 1.1 percent.

The National Bank of Romania (BNR) estimated an inflation of -0.4 percent for December 2016. The target of BNR is 2.5 percent +/- 1 percentage point. For the end of the first quarter of the year, BNR forecasts an inflation of 0.8 percent.

Georgiana Bendre