bne IntelliNews
Inflation in Hungary dropped from 5.5% to 3.8% (chart) in January, falling below the 4% tolerance band of the National Bank for the first time in 34 months. Compared to December, consumer prices rose by 0.7%.
Core inflation excluding indirect tax effects – a bellwether indicator of underlying inflation – fell to 6.1% in January from 7.6% in December.
CPI has fallen sharply after peaking at 25.7% a year earlier. Disinflation gathered momentum in the second half of the year due to tight monetary policy, subdued domestic demand and lower energy and raw material prices.
