Annual inflation rate drops to 16.4 pct in December

Romania's annual inflation rate dropped to 16.4 percent in December 2022 from 16.8 percent in November, as food prices rose 22.05 percent, non-food prices increased 14.95 and services grew by 9.78 percent more expensive, shows data released on Friday by the National Institute of Statistics (INS).

December's consumer prices inched up 0.37 percent compared to November 2022, with the cost of food growing 1.26 percent for the month, services getting 0.67 percent more expensive, while non-food prices dropped 0.32 percent.

Compared to the previous year, the average consumer price rate in the past 12 months (January - December 2022) is 13.8 percent.

The Harmonized Index of Consumer Prices (HICP), an inflation indicator for EU member states, is 100.12 percent in December compared to November 2022.

The annual HICP inflation rate is 14.1 percent in December 2022 compared to December 2021. The HICP-based average consumer price rate in the last 12 months (January 2022 - December 2022) is 12 percent compared to the previous 12 months (January - December 2021).

According to data presented by central bank governor Mugur Isarescu in November, the National Bank of Romania increased its year-end inflation forecast for 2022 to 16.3 percent and estimates inflation to be 11.2 percent at the end of 2023.