BELGRADE (Serbia), August 12 (SeeNews) – Erste Group said on Wednesday it expects Serbia's consumer price growth to gain speed in the coming months, after prices rose by 2.0% year-on-year in July, accelerating from a 1.6% increase in June.
"We expect inflation will now accelerate further in the next few months owing to higher excises on fuel, tobacco, alcoholic beverages and coffee as well as base effects," Erste Group said in an instant comment after Serbia's statistical office published the latest consumer price index (CPI) data earlier in the day.
The 2.0% year-on-year growth of Serbia's consumer prices in July has slightly overshot the 1.7% forecast of Erste Group analysts who expect them to remain stable and inside the lower part of the target band throughout the year.
On a monthly comparison basis, Serbia's consumer price index (CPI) rose by 0.2% in July, after increasing 0.6% in June, the statistical office said.
In annual terms, the cost of alcoholic beverages and tobacco (up 6.5%), communications (up 5.7%), recreation and culture (up 5.4%), and food and non-alcoholic drinks (up 4.3%) rose most.
In monthly terms, the prices of recreation and culture went up 3.5%, followed by the prices of alcoholic beverages and tobacco with 2.4% growth, making the biggest contribution to the monthly increase in July.
Serbia's average annual consumer price inflation slowed to 1.7% last year from 2.0% in 2018.