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Wednesday, 03.09.2014, 10:01
Swedbank: inflation in Estonia will slow down in the coming months
"The 3.8% annual consumer price growth was faster than expected," wrote Mertsina, adding that higher electric energy prices contributed most to the year-on-year growth as well as the month-on-month growth that reached 0.5%. Mertsina noted that electricity prices may increase further since on July 3, the European Parliament voted for the proposal of reducing CO2 quotas, which will increase the price of the quotas.
Mertsina noted that year-on-year transport and communications costs have fallen every month this year, one of the causes being free public transport in Tallinn but also motor fuel price fall.
Food products form around a fifth of the private consumption; Mertsina forecast that the prices of food products world market should decrease in the near future as production volumes grow.
"In Estonia and in the EU as a whole, the fear of price increase of people has decreased in recent months. In Latvia and Lithuania it has, on the other hand, increased. We will stick to it that the inflation will slow down in the coming months," wrote Mertsina.