INSTAT: Prices and inflation increased during August 2014

The Institute of Statistics has published the report for August 2014, on the fluctuations in the country’s economy. According to the official data, the annual change of the consume prices’ index is 2%, while a year before this change was estimated to be only 1.2%. This is the preferred minimal level of the inflation, according to Bank of Albania, which considers that the optimal level of the inflation must vary from 2% to 4%.

When compared to August 2013, during August 2014 the highest increase of prices was noted for the “Goods and services” group marked an increase by 7.8%. Although, an increase of prices has been noted even for other groups of goods such as “alcoholic beverages and tobacco”, whose prices increased by 7.1%, “food and non alcoholic beverages” prices increased by 3.2%, “hotels, coffees  and restaurants” with 1.9%, ect.

In the other side, there has been a decrease of prices for several goods and services such as “clothes and shoes”, whose prices decreased by 2.3%, “health services” prices marked the highest decrease by 5.6% and “communication services”, whose prices decreased by 0.8%. The annual increase of prices in August 2014 has been affected mainly by the “food and non alcoholic beverages” group to 1.25 points.

A decrease of the optimal inflation level below the minimal quota has been noticed in the latest months, a risky situation of the country’s economy because shows the absence of the domestic demand and In impinges the trade production.

News source: Shqiptarja.com

Photo credits: Wikimedia