NBS: Inflation is at its peak, food prices rose by 20% in November
The National Bank of Serbia (NBS) estimates that inflation will peak at the end of this year and the beginning of next year, and that it will gradually decline from the second quarter of next year.
According to the data of the Statistical Office of the Republic of Serbia, inflation in November this year amounted to 0.9 percent on a monthly basis, i.e. 7.5 percent compared to the same month last year.
According to the NBS projection, inflation is expected to return to the target of three percent in the middle of next year, with a deviation of plus or minus 1.5 percent.
According to the structure, three quarters of the year-on-year inflation in November were determined by the fluctuation of food and energy product prices, i.e. those categories that cannot be significantly directly affected by monetary policy, the NBS said in a statement.
Year-on-year core inflation, which does not include the rise in food, energy, alcohol and cigarette prices, and which may be affected by monetary policy measures, was significantly lower than total inflation in November, reaching 3%, which, according to the NBS, still indicates the temporality of inflationary pressures.
Since the beginning of the year, the year-on-year core inflation has averaged around two percent.
As explained, the prices of unprocessed food in November, compared to the same month last year increased by 20.7 percent, as a result of an increase in the prices of fresh vegetables by 23.8 percent, of fresh meat by 22.6 percent and of fresh fruit by 18 percent.
Due to the further growth in global food prices, drought and higher production costs, processed food prices rose by 7.1 percent year-on-year in November.
Energy product prices increased by 13.6 percent, primarily as a result of a 25.1 percent increase in petroleum product prices on the domestic market.