Skip to main content

Core inflation hits multi-year highs across CEE

Headline inflation has eased across Central and Eastern Europe (CEE) over the past few months, but that was entirely due to falling food and fuel inflation; core price pressures have continued to build. Indeed, core inflation hit multi-year highs in Poland, Hungary and Romania in October. Policymakers in these countries show no signs of responding to this and policy is likely to remain loose over the next twelve months or so. The one CEE country where core inflation has eased a touch is the Czech Republic. The Czech central bank is talking about interest rate hikes, but we expect falling inflation and weaker growth to prompt a shift towards easing around the middle of next year.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to gain:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services


Get access