Central Bank: Inflation to stay at low levels until 2011
Posted July 14th, 2010 in Business news by Ela Pawełek-LuberaA new report from Poland’s central bank shows a drop in the inflation rate in the first five months of 2010 (excluding food and energy price indexes), from 2.4 percent y/y in January to 1.6 percent y/y in May.
In Q1 2010, the base inflation rate stood at 2.2 percent y/y, with the National Bank of Poland (NBP) expecting a further fall over the next two fiscal quarters.
The report estimates that from Q4 2010 until Q2 2011 inflation will be back on the rise, to stabilise at a level around 2.6 percent.
Poland’s central bank reports that it expects the inflation of goods and services in the period Q2 2010 to Q4 2010 to be slightly below the level of the rate’s estimate, resulting in a small increase in food prices.
The NBP expects inflation to rise from Q3 2011, a result of economic growth and low real base rates, to land at around 2.9 percent y/y in 2012.
Source: www.thenews.pl
