The rise of prices in Slovakia in 2011 followed trends in the eurozone reporting higher inflation in 2011 compared to 2010, but price growth was higher in Slovakia than the average in the euro zone, the country's central bank (NBS) said in a commentary on January 16, the TASR newswire reported.
The EU-harmonised inflation rate in Slovakia over the past 12 months was 4.1 percent, up from rate of 0.7 percent rate in 2010, the NBS wrote, adding that the higher prices were due to higher energy and foodstuff prices as well as the introduction of measures aimed at consolidating public finances and the increase in the VAT rate (from 19 to 20 percent), the NBS wrote.
Energy prices in Slovakia rose by 10.5 percent in 2011 year-on-year, while 2010 had recorded a drop of 1.3 percent. Last year's annual rise in foodstuff prices of 5.5 percent was the result of developments on global markets concerning food commodities, with poor crops in 2010 also a factor, the NBS stated.
The NBS predicted that the inflation rate will fall to 4 percent in January.
Compiled by Zuzana Vilikovská from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.
17. Jan 2012 at 10:00