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Andrei Chirileasa
Editor-in-Chief

Andrei studied finance at the Bucharest Academy of Economic Studies and started his journalism career in 2004 with Ziarul Financiar, the leading financial newspaper in Romania, where he worked for ten years, the last six of which as editor of the capital markets section. He joined the Romania-Insider.com team in 2014 as editor and became Editor-in-Chief in 2016. He currently oversees the daily content published on Romania-Insider.com and likes to stay up to date with everything relevant in business, politics, and life in Romania. Andrei lives with his family in the countryside in Northern Romania, where he built their own house. In his free time, he studies horticulture and tends to his family’s garden. He enjoys foraging in the woods and long walks on the hills and valleys around his village. Email him for story ideas and interviews at andrei@romania-insider.com. 

 

Romania’s inflation begins ‘transitory’ episode in June

The consumer price inflation in Romania accelerated to 3.94% YoY in June, from 3.75% YoY in May, the statistics office INS announced. The upward shift was predominantly driven by a combination of diverse effects attributable to the post-Covid recovery cycle but also pushed up by independent elements (such as higher tobacco excises, electricity market liberalisation).

In June, the consumer prices increased by only 0.27% - the smallest monthly advance since November - but this was enough to result in higher annual inflation given the base effects generated by lower consumer prices during the Covid period last year.

Such base effects are likely to become more visible in the coming months, and the National Bank of Romania (BNR) expressed in advance expectations for such a “transitory” inflation episode. The average consumer prices dropped during August and September last year, and this is likely to surface as higher inflation in 2021.

As regards the picture as of June, more than half of the 3.94% YoY inflation was caused by only three items: fuel prices rose by 11.8% y/y contributing +1.03pp, the electricity price rose by 17% YoY and contributed +0.79pp, and the tobacco prices increased by 7.0% and contributed +0.43pp.

Among the three, only the fuel prices can be seen as an effect of the post-pandemic recovery cycle. 

andrei@romania-insider.com

(Photo source: Shutterstock)

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Profile picture for user andreich
Andrei Chirileasa
Editor-in-Chief

Andrei studied finance at the Bucharest Academy of Economic Studies and started his journalism career in 2004 with Ziarul Financiar, the leading financial newspaper in Romania, where he worked for ten years, the last six of which as editor of the capital markets section. He joined the Romania-Insider.com team in 2014 as editor and became Editor-in-Chief in 2016. He currently oversees the daily content published on Romania-Insider.com and likes to stay up to date with everything relevant in business, politics, and life in Romania. Andrei lives with his family in the countryside in Northern Romania, where he built their own house. In his free time, he studies horticulture and tends to his family’s garden. He enjoys foraging in the woods and long walks on the hills and valleys around his village. Email him for story ideas and interviews at andrei@romania-insider.com. 

 

Romania’s inflation begins ‘transitory’ episode in June

The consumer price inflation in Romania accelerated to 3.94% YoY in June, from 3.75% YoY in May, the statistics office INS announced. The upward shift was predominantly driven by a combination of diverse effects attributable to the post-Covid recovery cycle but also pushed up by independent elements (such as higher tobacco excises, electricity market liberalisation).

In June, the consumer prices increased by only 0.27% - the smallest monthly advance since November - but this was enough to result in higher annual inflation given the base effects generated by lower consumer prices during the Covid period last year.

Such base effects are likely to become more visible in the coming months, and the National Bank of Romania (BNR) expressed in advance expectations for such a “transitory” inflation episode. The average consumer prices dropped during August and September last year, and this is likely to surface as higher inflation in 2021.

As regards the picture as of June, more than half of the 3.94% YoY inflation was caused by only three items: fuel prices rose by 11.8% y/y contributing +1.03pp, the electricity price rose by 17% YoY and contributed +0.79pp, and the tobacco prices increased by 7.0% and contributed +0.43pp.

Among the three, only the fuel prices can be seen as an effect of the post-pandemic recovery cycle. 

andrei@romania-insider.com

(Photo source: Shutterstock)

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