North Macedonia's average annual inflation speeded up slightly to 3.6% in August from 3.4% in the previous month, statistics office data indicated on September 7. In the first eight months of 2021, the average inflation was 2.7%.
In July, the central bank said it expects consumer prices to increase further based on expected movements in import prices. There are also risks related to uncertainty in the movement of world prices of primary products in the following period as well as the uncertain economic effects associated with the coronavirus (COVID-19) pandemic.
Month on month, the consumer price index (CPI) in North Macedonia rose by 0.6% in August, after increasing by 0.5% in the previous month.
Transport costs increased the most year on year in August by 13.5%, followed by hotel and restaurant prices by 4.8% y/y, alcoholic beverages and tobacco prices by 4.2% as well as the prices of food and non-alcoholic drinks, which increased by 4.1%.
Only the prices in the communication sector fell year on year in August by 0.7%.
The retail price index grew by 4.9% y/y and was 0.4% higher on a monthly basis in the seventh month of the year.
North Macedonia’s government projected GDP growth of 4.1% and annual average inflation of 2.1% for 2021.