The CNB comments on the February 2006 inflation figures
The CNB's forecast is being fulfilled
According to figures released today, annual inflation slowed slightly to 2.8% in February 2006
from 2.9% in January. It thus remains close to the CNB's target of 3%.
The month-on-month price movements in February were relatively small in most consumer basket
categories. The only exceptions were a seasonal increase in prices of package holidays and a fall
in telecommunications prices due to discounts on fees for fixed telephone lines. Unlike in previous
months, the price level was not markedly affected by a fall in fuel prices, which, on the contrary,
recorded a modest rise.
Annual inflation was fully in line with the CNB's current forecast, since the minor
month-on-month inflation deviations from the forecast have offset each other over the last two
months. Nor does the structure of the price movements differ much from the CNB's prediction.
Regulated prices and fuel prices are developing almost exactly in line with the forecast. Food
prices are slightly lower than forecasted, but slightly higher adjusted inflation excluding fuels
is acting in the opposite direction. The latter nonetheless remains low and is so far showing no
signs of demand-pull inflationary pressures.
Tomáš Holub
Executive Director, Monetary and Statistics Department
The CNB comments on the February 2006 inflation figures
The CNB's forecast is being fulfilled
According to figures released today, annual inflation slowed slightly to 2.8% in February 2006 from 2.9% in January. It thus remains close to the CNB's target of 3%.
The month-on-month price movements in February were relatively small in most consumer basket categories. The only exceptions were a seasonal increase in prices of package holidays and a fall in telecommunications prices due to discounts on fees for fixed telephone lines. Unlike in previous months, the price level was not markedly affected by a fall in fuel prices, which, on the contrary, recorded a modest rise.
Annual inflation was fully in line with the CNB's current forecast, since the minor month-on-month inflation deviations from the forecast have offset each other over the last two months. Nor does the structure of the price movements differ much from the CNB's prediction. Regulated prices and fuel prices are developing almost exactly in line with the forecast. Food prices are slightly lower than forecasted, but slightly higher adjusted inflation excluding fuels is acting in the opposite direction. The latter nonetheless remains low and is so far showing no signs of demand-pull inflationary pressures.
Tomáš Holub
Executive Director, Monetary and Statistics Department