The CNB comments on the April 2003 inflation figures

12.5.2003

 

The monthly consumer price inflation of 0.2% recorded in April is entirely in line with the estimate contained in the CNB's fourth situational report issued in April of this year. In annual terms, the decline in consumer prices slowed to 0.1%, compared to the annual decreases of 0.4% seen in the first three months of the year.

The current low-inflation environment is due primarily to excess supply on the strongly competitive tradables market, the lingering influence of external cost factors (including the exchange rate last year), continuing low growth in regulated prices, and weak inflation expectations (fostered by the past inflation profile).

The CNB expects an upturn in annual inflation in the second quarter of this year.

Alice Frišaufová
CNB spokesperson