In 2012 inflation should reach roughly 2.8 %

23.11.2011

The increase in inflation will primarily be driven by an increase in the reduced VAT rate to 14 %.

 

In 2012 inflation should reach roughly 2.8 %. The increase in inflation will primarily be driven by an increase in the reduced VAT rate to 14 %. This was stated for ČIA by the deputy executive director of the Czech Banking Association, Jan Matoušek. Adjusted for seasonal influences inflation should reach roughly 2 % in 2012. The falling performance of the economy will be an anti-inflationary factor. The slowdown of economic growth in the EU and Eurozone and especially in Germany will have an effect.

Source: Daily News Czech AM, www.cianews.eu