Romania Inflation Rises To 1.2% In April

05.12.2014 By Florentina Dragu

Romania’s annual inflation rate rose to 1.21% at the end of April, from an all-time low of 1.04% a month earlier, ending a five-month period of declines, official data showed Monday.

The consumer price index advanced 0.3% last month, driven by a 0.7% increase in non-food prices. Food and service prices each decreased by 0.1% on the month in April, the country’s statistics institute INS said.

Romanians paid by 1.3% less for fresh and canned vegetables in April compared with a month earlier, while egg prices declined 2.9%.

On the other hand, fuel prices increased 3.2% on the month, while tobacco and cigarettes were 1.8% more expensive, the data showed.

In the services sector, telephony service prices inched down 0.7% in April from a month earlier, while the cost of urban transportation declined 0.14%.

Romania's harmonized index of consumer prices, or HICP, was 2.1% at the end of last month, INS said.

The central bank targets an inflation rate of 2.5% in 2014, plus/minus one percentage point around the band. Last week, the bank revised slightly down its year-end forecast to 3.3% from 3.5% previously and said inflationary pressures were expected to remain at moderate levels in the next months.