Polish consumer price inflation (CPI) expanded 2.8% year on year in February (chart) to the lowest level in three years, data from Poland’s statistical office GUS showed on March 15.
Romania's high fiscal deficit is expected to put pressure on the public debt-to-GDP ratio, eventually pushing it above 50%.
February's fall in inflation was smaller than expected, increasing uncertainty about future rate cuts.
Domestic inflation decelerated to an annual rate of 3% in February, as pressures from food and energy prices decreased.
Inflation has been in the lower half of the 5%+/-1pp target band for three months.
The strongest negative influence came from a 6.2% decrease in the country’s decisive sector, the manufacture of transport equipment.
Hungary's inflation slowed to 3.7% in February, down from 3.8% in the previous month.
Romania’s economy advanced by 1.1% y/y in the last quarter of 2023 and by 2.1% y/y in the full year.
Hungary's cash flow-based general government deficit reached HUF1.7 trillion (€4.3bn) at the end of February, which accounts for roughly 70% of the HUF2.5 trillion full-year target.
The Czech unemployment rate remained at 4% in February, unchanged month-on-month. In year-on-year terms, it increased by 0.1%.
At the end of last year, Russia has 146.2mn people living permanently in the country. Excluding the Crimea, illegally annexed in 2014, Russia’s 2023 population was about 144 mn. Russia’s population peaked in 1993 at 149 mn and is now declining.
The decision to maintain the reference interest rate was primarily influenced by the global economic landscape, characterised by declining but still elevated inflationary pressures.
Bulgaria took a strong pro-Western turn after Russia's invasion of Ukraine.
Private consumption is expected to be a major growth driver in Romania this year and the January figures are fully consistent with this.
Weak underlying demand trends and poor weather conditions hit activity.
Central bank watching for lagged effects of rate hikes that have taken benchmark to 45%.
Rate of input cost inflation quickened and output prices were raised to largest extent for a year.
The Romanian manufacturing sector faces new shocks from supply chain bottlenecks and higher taxes affecting activity, in the context of already broad-based weakness in demand.
The Manufacturing Purchasing Managers’ Index (PMI) for Czechia, compiled by market intelligence company S&P Global, inched upwards in February to 44.3 amid some positive signs in the struggling manufacturing sector.