Bulgaria's aggregate price level recorded a third consecutive annual decline as the consumer price index went down by 1.4% y/y in October 2013 after falling by 1.6% in September and 0.7% in August, data published by the statistics office showed. Low domestic demand, coupled with two administratively imposed cuts in the price of electricity this year (by an average of 7% in March and 4.3% in August) and lower international energy prices were the main reasons for the consistently falling price level in the country.
The electricity price declined by 11.1% in October. As a result, the housing and utilities sub-index of the CPI also decreased by 6.6% y/y. Healthcare and transport prices dropped by 2.2% y/y and 2.5% y/y respectively. Meanwhile, the price of food inched up 0.3% y/y in October, mainly due to vegetables, the prices of which traditionally increase in the autumn. Prices of alcoholic beverages and tobacco were up 0.9% y/y.
In monthly terms, consumer prices rose 0.5% in October after inching up 0.1% the previous month, driven by the rising cost of food during the autumn season.
The statistics office also informed that the EU-harmonised CPI inflation (HICP), used as a benchmark for the euro adoption, dropped 1.1% y/y in October, while advancing 0.2% on a monthly basis.
Bulgaria's CPI, y/y, % | Weight in the basket, % | Jul-13 | Aug-13 | Sep-13 | Oct-13 |
Total | 100 | 0.5 | -0.7 | -1.6 | -1.4 |
Food | 36.4 | 3 | 1.2 | -0.3 | 0.3 |
Alcoholic beverages and tobacco | 5.3 | 0.7 | 0.7 | 0.7 | 0.9 |
Clothing and footwear | 3.8 | -0.6 | 0 | 0.2 | 0.3 |
Housing, water, electricity, gas and other fuels | 17.8 | -3.4 | -5.7 | -6.1 | -6.6 |
Furnishings, household equipment and routine household maintenance | 3.6 | -0.4 | 0.7 | -0.5 | -1.0 |
Health | 6.4 | -3.7 | -3.7 | -3.1 | -2.2 |
Transport | 8 | -0.5 | -1.9 | -3.2 | -2.5 |
Communication | 5.4 | -0.4 | -0.5 | -0.3 | 0.4 |
Recreation and culture | 4.3 | 0.2 | 0.2 | -2.7 | -3.8 |
Education | 0.4 | 3.8 | 3.8 | 2.7 | 0.9 |
Restaurants and hotels | 5.1 | 4 | 4.1 | 3.4 | 2.8 |
Miscellaneous goods and services | 4.3 | 1.2 | 0.8 | 0.2 | 0.3 |
Source: statistics office |
The Bulgarian-American Credit Bank said on April 16 it has agreed to acquire 99.94% of local Tokuda Bank from Japan-based Tokushukai Incorporated. The two banks are among the smallest in Bulgaria ... more
This Southeast Europe Outlook 2024 has been prepared by bne IntelliNews as part of a series of annual reviews providing updates on the geopolitical, macroeconomic and commercial state of ... more
The European Bank for Reconstruction and Development (EBRD), the European Union, and ILX Management, an emerging market asset manager, have joined forces to enhance private-sector finance in Emerging ... more