Albania’s consumer prices rose 2.3% y/y in April 2013, slowing down from a 2.4% annual rise in March, the statistics institute, INSTAT, said on its website. The growth, however, was above the 1.6% y/y rate recorded in April 2012.
In monthly terms, consumer prices edged down 0.1% in April after rising 0.3% in March.
Food prices increased by an annual 5.7%, accelerating their growth for a fifth consecutive month. The growth was mainly driven by a 28.3% rise in vegetable prices and an 8.1% y/y increase in prices of fruit. Prices of alcoholic beverages and tobacco went up 3.5% y/y in April after advancing 3.6% y/y in the previous month.
Communications and education services costs grew by 1.3% and 1.8% y/y, respectively, advancing at the same pace as in the previous three months. By contrast, lower prices of clothing and footwear (down 3.4% y/y) continued to exert downward pressure on the inflation.
Regulated prices registered a 0.9% y/y drop in the month. Moreover, costs of transport reversed to a 0.3% y/y decline, which resulted from a 1.2% y/y drop in the prices of equipment operations of personal transportation. In our estimates, the average inflation rate was equal to 2.5% in January to April 2013, up from 1.2% in the same period of 2012.
The central bank decided on April 30 to keep the base interest rate at its historic low of 3.75% for a third consecutive month after cutting it by 25bps in January. The decision is in line with the objectives to meet the mid-term inflation target, while providing necessary stimulus to support lending growth and consumption.
|Consumer prices, % y/y|
|Food and Drink||1.1||3.6||4.4||5.6||5.7||5.2|
|Alcohol and Tobacco||1.5||3.8||3.8||3.6||3.5||3.7|
|Clothing and Footwear||-1.9||-2.3||-3.1||-3.4||-3.4||-3.3|
|Rent and Utilities||1.3||0.3||0.3||-0.5||-0.9||-0.3|
|Furniture and Maintenance||1.3||1.5||1.3||1.3||1.2||1.3|
|Recreation and Culture||1.9||1.9||1.7||0.8||0.3||1.1|
|Hotels and Restaurants||1.5||2.0||1.9||1.7||1.8||1.8|
Officials from oil distribution company Gulf Albania are under investigation for money laundering, media in Tirana reported on April 22. The owner of the group is Alexandre Gogokhia, a ... more
Albanian Defense Minister Olta Xhacka said that Tirana wants more investments by the US military industry in Albania, after a US company launched work on the installation of the Integrated ... more
Boyko Borissov, prime minister of the current EU Council chair Bulgaria, called on April 10 on the leaders of the Western Balkan countries to preserve peace and ... more