Bosnia’s Serb Republic CPI declines 1.7% y/y in Feb 2014

By bne IntelliNews March 26, 2014

Bosnia’s Serb Republic CPI decreased by 1.7% y/y in February 2014, improving slightly from a 1.8% y/y drop the month before, the entity’s statistics office said in a statement on March 26. The reading continues to be dragged down by falling food, housing, clothing and footwear, transport, and furnishings costs.

In monthly terms, the CPI edged up 0.2% m/m in February, after inching up 0.1% in January. Compared to the 2013 average, the CPI fell 0.4% in February.

Consumer prices in Bosnia’s smaller entity have been declining since August 2013 reflecting subdued household consumption amid rising unemployment, falling real wages and cash inflows from abroad.

Food and non-alcoholic beverage prices fell for a sixth straight month in February, going down by 4.1% y/y, deteriorating from a 4.0% y/y decline the month before. Clothing and footwear prices declined 7.8% y/y in February, following a 8.8% y/y contraction in January. Furnishing prices deflation deepened to 1.4% y/y in February from 1.2% the month before. Transport prices, likewise, remained in the red, shrinking 1.6% y/y in February after decreasing 0.1% y/y in January. Housing and utilities charges edged down 0.6% y/y in February, recording the same annual drop as in January.

Prices of alcoholic beverages grew 5.6% y/y in February after increasing 5.7% y/y the month before.

The average CPI inflation last year was 0.0%, down from 2.1% in 2012 on falling transport and furnishing charges and slower growth of food prices.

Related Articles

Bulgaria’s Borissov appeals to Western Balkan leaders to preserve peace

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

Russian Night Wolves defy ban to enter Bosnia

Members of Russia’s nationalistic motorcycle club the Night Wolves entered Bosnia & Herzegovina late on March 20 despite a ban ... more

Pre-election tensions in Bosnia could derail international aid, S&P warns

Increasing political maneuvering ahead of the October 2018 general election in Bosnia & Herzegovina could again derail external financing flows and the country’s solid economic growth, ... more