Actual (April): 0.3% m/m; 1.1% y/y
Consensus: 0.3% m/m; 1.1% y/y
Previous (March): 0.3% m/m; 0.7% y/y
Consumer prices rises due higher food prices, tobacco excise, regulated natural gas prices and increasing gasoline prices. It is evident that inflation is driven by changes in regulated prices, indirect tax rates and rising commodity prices.
On the other hand, domestic demand does not generate any significant price pressures. Core inflation used by the central bank to derive underlying inflationary pressures and to decide about interest rates remain almost flat (0.1% y/y). Thus, the CNB is likely to keep its policy tools on hold until the next year.