Annual inflation rate grows to 7.9 per cent in Moldova in last October
15:42 | 10.11.2017 Category: Economic
Chisinau, 10 November /MOLDPRES/ - The annual inflation rate grew to 7.9 per cent in last October, from 7.3 per cent in September 2017, according to data by the National Statistics Bureau (BNS).
The consumer price index increased as a result of a 10.6-per cent rise in the prices for food products against October 2016, four-percent increase in the prices for non-food goods and an 8.7-per cent growth of the prices for services provided to residents.
BNS data shows that, in last October, the prices increased by 1.5 percent against the month before, when the inflation grew by 0.9 per cent following the last summer deflation. The food products’ prices increased by 3.6 per cent in October 2017 and the ones for non-food goods – by 0.3 percent; at the same time, the tariffs for services provided to residents went up by 0.1 per cent.
The National Bank of Moldova (BNM) has recently maintained the forecast of the inflation at 6.5 percent for this year. “The annual inflation rate, beginning with the fourth quarter of 2017, will drop quickly and will get back to the interval starting from the first quarter of 2018 for two quarters in a row. Beginning with the third quarter of 2018, for three consecutive quarters, the annual inflation rate will be under the inferior limit of the interval, after which, in the second quarter of 2019, it will get back in the interval and will be nearby the inflation target at the end of the forecast horizon,” reads the inflation report No 4.
According to BNM, the maximum 7.3-per cent value will be recorded in the fourth quarter of 2017 and the minimal one of 2.6 per cent – in the fourth quarter of 2018.
The Economics and Infrastructure Ministry expects an inflation rate of 6.5 per cent in the end of this year. The state budget for 2017 was edified on an inflation of 4.4 per cent.
“The inflation, which reached the highest level of more than 13 per cent in 2015, registered a quick decrease; yet, it exceeded the target level for September 2017, reaching 7.6 per cent, to a great extent, because of the supply-related shocks,” reads a note by the International Monetary Fund, which ended its two-week mission in Moldova on 7 November. The IMF experts reached an agreement with the authorities as regards the second evaluation of the Programme with Moldova. After the Programme is completed and the Fund’s Board of Directors adopts a decision, Moldova will have access to the third 22-million-dollar installment.
(Reporter V. Bercu, editor A. Raileanu)
